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China’s three largest state-owned airlines—Air China, China Eastern Airlines, and China Southern Airlines—have rolled out new consumer protection policies that allow passengers to request a free refund if they discover a lower fare for the same ticket within 24 hours of purchase.
The new policy, which went into effect yesterday, permits travelers who buy tickets through the airlines’ official websites or apps to apply for a refund if they find a cheaper fare for the same route within a day of their initial purchase.
This initiative mainly aims to tackle issues stemming from online travel agency (OTA) platforms. Currently, OTAs account for over 70% of airline ticket sales, but several problems remain, such as agents inflating ticket prices through points redemptions, using low prices to lure customers, and then earning extra revenue by increasing change and cancellation fees.
Although regulations have explicitly prohibited agents from charging fees beyond the ticket price since 2016, such practices continue largely unchecked, showing little sign of being fully resolved.
Industry experts note that OTA platforms generally depend on random spot checks rather than thorough oversight of their suppliers, creating opportunities for violations. Some airlines have urged OTAs to implement systems like whitelists, limit the number of suppliers, or even eliminate the supplier model altogether, but these suggestions have yet to gain momentum.
In recent years, the airlines have also focused on growing their direct sales channels by offering exclusive discounts to members, enabling ticket sales between airlines, and upgrading the booking experience on their apps with better refund policies.
Several sales executives from the airlines admitted that, compared to OTA platforms, their official websites and mobile apps still lag in technology and passenger service quality. Occasionally, this has affected the ease of transactions, pointing to a significant need for improvement.
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