‘Economic sabotage’: DOTr orders crackdown on AirAsia Move for alleged overcharging

Metro Manila, Philippines - The government is ordering a crackdown on online booking platform AirAsia Move for allegedly overcharging passengers, with the price of a one-way local ticket reaching almost P40,000.

In a press briefing on Monday, June 2, Transportation Secretary Vince Dizon said the government will file a criminal complaint for economic sabotage against AirAsia Move, which he said is based in Malaysia.

He also noted that a cease and desist order has already been issued against the online platform on May 26, instructing the Philippine National Police Anti-Cybercrime Unit to take down the website within the country’s jurisdiction.

During the briefing, Dizon presented a document showing two one-way tickets for over P77,000 under the economy class, purchased by Leyte 4th District Rep. Richard Gomez and his wife Ormoc Mayor Lucy Torres. Other one-way trips from Tacloban to Manila for two people, meanwhile, were priced from P49,000 to over P53,000.

Dizon then showed a one-way ticket from Philippine Airlines – for the same destination and on the same day, set at over P12,000 – more than thrice of the supposed offer.

Civil Defense Office administrator Ariel Nepomuceno also reached out to the DOTr to investigate fare hikes amid the ongoing repairs in San Juanico bridge – a viaduct that links provinces of Samar and Leyte.

“Apparently these platforms only pay PAL what is the price of PAL. ‘Yung 12,000 na iyon, so yung patong kay AirAsia Move lahat yun. Then they are doing it at a time when there’s an ongoing transportation crisis in Tacloban,” said Dizon.

[Translation: Apparently these platforms only pay the price Philippine Airlines. That ₱12,000 — all the markup was made by AirAsia Move. And they are doing this at a time when there’s an ongoing transportation crisis in Tacloban.]

He, however, clarified that AirAsia Philippines airline is not involved in the price gouging.

Not manipulating prices

In a statement, AirAsia Move said it does not manipulate or manually set airfares in light of the allegations.

“The discrepancies in fare displays for certain routes, including domestic flights operated by Philippine Airlines, were caused by temporary data synchronization issues with flight pricing partners. This technical discrepancy caused by the third-party provider is not isolated to MOVE as it also affected other booking platforms across the industry, including Agoda, Kiwi.com, and Traveloka,” said Nadia Omer, chief executive officer of AirAsia Move.

The platform also insisted it is compliant with regulations for online travel agencies and asked for due process for the benefit of passengers who booked tickets with them.

In its May 29 response to the cease and desist order issued by the Civil Aeronautics Board, the group said the government’s jurisdiction only applies to air carriers.

“As the owner and operator of the MOVE website and mobile application (MOVE Platform), we wish to inform you that MOVE Platform has implemented measures to ensure compliance with the said cease and desist order dated 26 May 2025. Notwithstanding, we respectfully submit that the CAB's jurisdiction under R.A. No. 776 applies to air carriers, not foreign-based OTAs, and that any regulatory action must be predicated on express statutory authority,” it wrote.

Meanwhile, Carmello Arcilla, CAB executive director, clarified its role on the matter.

“On the matter of jurisdiction, there’s such a thing as what we call doctrine of necessary implication. It’s not only about the person or entity there’s also a jurisdiction about the subject matter…For domestic services, we approve the fares…we set the ceiling, when that ceiling is violated by an entity even when they are not defined under a jurisdiction, they come within our enforcement proceedings,” he said.

Dizon also ordered the CAB to monitor and check if other platforms are overpricing.

He also advised local travelers to avoid purchasing tickets from AirAsia Move.

“Huwag kayo bibili sa AirAsia move it na ‘yan…Huwag na huwag kayong bibili sa mga lokong ‘to,” said Dizon.

[Translation: Don't buy from AirAsia Move…Never ever buy from these fools.]