Hong Kong adds ticket tax to fund airport expansion

Hong Kong adds ticket tax to fund airport expansion

New Airport Construction Fee (ACF) introduced to pay for third runway

New Airport Construction Fee (ACF) introduced to pay for third runway

Hong Kong International Airport
Hong Kong International Airport

Hong Kong’s airport authority has announced that a new passenger fee will be introduced this summer, to fund the ongoing expansion of HKIA.

The new Airport Construction Fee (ACF) will be applied to all outbound air tickets issued on or after 1 August 2016. Airlines will be tasked with collecting the fee from departing passengers, including those transiting through HKIA, when they issue the tickets.

The ACF will vary depending on the route and cabin class. For example, short-haul passengers departing HKIA and flying in economy class will be subject to a HK$90 (approx. US$11.60) fee, while short-haul passengers in first or business class will be charged HK$160. For long-haul passengers, the fees for economy and first/business class tickets are HK$160 and HK$180 respectively. The ACF for short-haul transit passengers in economy class is HK$70.

The airport authority said it expects that about 70% of passengers will pay HK$90 or less.

The taxes will be used to fund HKIA’s expansion, including the development of its third runway.

Mark Elliott
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Mark Elliott
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