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Why Air India, AI Express have capped economy class fares
06 Dec 2025

In light of the ongoing operational disruptions caused by IndiGo, Air India and Air India Express have announced a cap on economy class fares.

The move comes as a response to the travel chaos triggered by IndiGo's recent flight cancellations.

The airlines said they have been capping economy class fares on all non-stop domestic flights since December 4, to prevent last-minute price hikes due to dynamic pricing algorithms.

Air India clarifies on fare caps amid travel chaos
Clarification

Air India clarified that the fare cap is aimed at preventing automated revenue management systems from burdening travelers during this surge in domestic travel.

However, the airline also noted that higher fares for one-stop or two-stop itineraries are not covered under these caps.

These higher fares usually involve connecting flights or mixed-cabin combinations (premium economy/business), which are beyond their control.

Air India, Air India Express work to ease travel disruptions
Capacity addition

Both Air India and Air India Express are working to add more capacity in a bid to help travelers reach their destinations as quickly as possible.

Meanwhile, the Civil Aviation Ministry has directed IndiGo to complete all ticket refunds for canceled flights by Sunday evening, and ordered the delivery of any baggage separated from passengers within 48 hours.

IndiGo's operational disruptions impact air travel across India
Travel impact

The operational disruptions at IndiGo have caused major chaos in air travel across India.

The government has announced special relief for the carrier and additional trains to help clear the backlog.

On Friday alone, over 1,000 IndiGo flights were canceled. The Delhi airport said flight operations are gradually normalizing but some IndiGo flights are still affected.