Fares for express and intercity buses will each rise by 9% starting Oct. 1, the Ministry of Land, Infrastructure and Transport said on the 26th. It is the first increase in three years since a 5% hike in July 2023. After COVID-19, labor costs went up while passenger numbers failed to recover, and fuel costs climbed due to the Middle East war, worsening business conditions for the bus industry and prompting the move.
The number of bus users is falling sharply. Intercity bus passengers, which averaged about 540,000 a day in 2019, dropped to about 270,000 last year, roughly half. Express bus passengers also fell about 30% over the same period, from 83,000 to 58,000. As passengers declined, intercity bus routes decreased from 3,335 in 2019 to 3,177 last year, and express bus routes from 208 to 164. In response, the bus industry has demanded fare hikes of 17% for intercity buses and 20.1% for express buses, citing the need to reflect higher transport costs.
Jang Gu-jung, director general for comprehensive transport policy at the Ministry of Land, Infrastructure and Transport (MOLIT), said, "Intercity and express bus routes, essential public transit in the regions, are being canceled in large numbers as revenue deteriorates, making a minimal fare increase necessary," and added, "We will work to ensure that management improvements from fare adjustments lead to investment in developing new routes and improving services."