Regional Flight Cuts and 1,120-Baht Airport Fee Push September 2026 Occupancy to 52%

Thailand's tourism sector recorded a cumulative 23.2 million foreign tourist arrivals during the first 9 months of 2026, a decrease of 3.8% compared with the same period of the previous year. Data compiled by the Tourism Authority of Thailand, the Thai Hotels Association and Kasikorn Research Center indicate that the main causes are a reduction in direct flights to regional airports such as Krabi, Hat Yai and Samui, alongside increased airport fees and international conflicts. These factors have caused nationwide hotel occupancy rates to trend downwards and prompted all sectors to urgently adjust their plans to attract travellers in the final quarter of the year.

Flight Concentration in Major Cities and Rising Travel Costs

Kasikorn Research Center noted that international flights currently remain heavily concentrated in Bangkok and Phuket, whereas airports in key tourism provinces including Krabi, Hat Yai and Samui face continuous flight reductions and cancellations. As a result, foreign tourists wishing to travel directly to these provinces have fewer options and must rely more heavily on connecting flights via Bangkok.

Thai AirAsia cancelled its routes from Suvarnabhumi Airport to Hat Yai and Krabi from 1 May to 30 June 2026 due to high costs and unprofitability, following its earlier suspension of international routes in the Indian market. Subsequently, the same airline suspended an additional 9 flights from Suvarnabhumi Airport between 15 July and 30 September 2026, before resuming operations on 1 October 2026 on only 3 routes: Chiang Mai, Phuket and Krabi, still without the Hat Yai route. Furthermore, the Department of Airports reported that 3 airlines cancelled a total of 19 flights on Middle East routes to Krabi Airport between 28 February and 2 March 2026, which serve as a primary channel for bringing in European tourists via night-time aviation hubs.

Beyond route limitations, tourists also face higher expenses after Airports of Thailand Public Company Limited raised the international departure Passenger Service Charge, or PSC, by 53%. The fee increase from 730 baht to 1,120 baht per person took effect from 20 June 2026 onwards. The automatic rise of nearly 400 baht per seat in ticket costs places Thailand at a price competitiveness disadvantage compared with other countries in Southeast Asia.

Disparities Between Andaman Airports and Pressure on the Hotel Business

The President of the Thai Hotels Association disclosed data from the Immigration Bureau as of 17 October 2026 showing a stark contrast between the situations at Phuket Airport and Krabi Airport. Phuket Airport has maintained its routes from the Middle East alongside a continuous increase in flight numbers, giving it a base of direct flights ready to accommodate the high season in the 4th quarter immediately. Conversely, Krabi Airport still awaits the recovery of direct routes and must rely primarily on passengers travelling via Bangkok.

Travel obstacles have directly affected the accommodation sector, with the Thai Hotels Association forecasting that the average occupancy rate in September 2026 will drop to 52% from 64% in August 2026. The decline of 12 points within just 1 month has raised concerns among operators that full-year foreign tourist arrivals for 2026 may not reach 32 million. Consequently, hotel businesses must rely more heavily on the domestic market through government-supported domestic tourism stimulus programmes.

For the overall international market from 1 January to 8 August 2026, 19.15 million foreign tourists entered Thailand, contracting by 2.9% compared with the previous year. A major cause was the conflict in the Middle East in late February 2026, which prompted travellers from Europe and the Middle East to delay their trips. Tourists from Malaysia, the 2nd-largest market, fell by 15.19% as they turned to travelling in Japan and Indonesia instead, while the Indian market also declined. Meanwhile, the Chinese market expanded by 15.16%, though this could not fully offset the lost volume, resulting in the 2nd quarter between April and June 2026 recording only 6.5 million foreign tourists, down 4% from the previous year.

Summary of Statistics and Thai Tourism Targets for the Final Quarter of 2026

Despite the slowdown in cumulative figures, the Tourism Authority of Thailand maintains its full-year 2026 foreign tourist target at 33 million, close to the previous year's record of 32.97 million, alongside a total revenue target of 2.7 trillion baht, representing growth of no less than 7%, divided into 1.6 trillion baht from the international market and 1.1 trillion baht from the domestic market. Meanwhile, Kasikorn Research Center cautiously estimates that full-year 2026 foreign tourist arrivals will reach approximately 31.36 million, a contraction of 4.9%, which is nonetheless an improvement on its earlier forecast of 30 million. To reach the target of 33 million, Thailand must attract nearly 10 million additional foreign tourists during the final 3 months of the year.

This aviation situation data and forecast figures are directly relevant to hotel professionals in planning room inventory management and adjusting pricing strategies to attract domestic guests to offset the slowing international market in secondary cities. Event organisers can use flight density trends between Bangkok, Phuket and other provinces as criteria for selecting event destinations with sufficient flight capacity. General tourists can use information on route changes and increased airport fees to calculate budgets and plan advance ticket bookings before travelling at the end of the year.