Silent Terminals at Holidays: The Bus Industry's Crisis

Last year, average daily intercity bus ridership was about 270,000, roughly half of the 540,000 recorded in 2019 before COVID-19.

Over the same period, express bus ridership fell about 30%, from 83,000 to 58,000 per day, and more than 150 intercity bus routes and over 40 express bus routes disappeared. Since 2018, 44 privately operated bus terminals have also ceased operations.

Rail is less affected by traffic congestion and stands out for punctuality. After COVID-19, rail ridership recovered quickly, but buses have not.

Express and intercity bus fares will rise by about 9% starting in October, as the cost of transporting each passenger has increased due to falling passenger numbers. Currently, express buses are running at a deficit of about 20% of revenue in 2024, and intercity buses at about 17%.

On the Seoul–Busan route, premium bus fares are rising while KTX fares are falling, creating a price reversal between the two modes that is further eroding the price competitiveness of buses.

Of express bus routes, 66%, and of intercity bus routes, 82%, do not overlap with KTX routes. For elderly people without cars and for students, the bus is effectively the only long-distance travel option.

Route closures would strip these people of basic mobility and could seriously restrict travel between regions.

The industry is also considering flexible operations, such as small and mid-sized buses or demand-responsive transport (DRT), in low-demand areas, and calls for government financial support systems for essential routes.