Baggage Fees on the Rise: Latest News from American Airlines

U.S. Airlines Unite to Raise Baggage Fees

American Airlines announced on Thursday that they will be increasing their checked baggage fees to align with many other major airlines in the U.S. that have made similar moves in recent weeks. The airline cited rising fuel costs as the main reason, stating they are not willing to absorb these expenses.

New Baggage Fees for American Airlines

Effective immediately, domestic passengers, including those traveling to Alaska, Hawaii, Puerto Rico, the U.S. Virgin Islands, Canada, and short-haul international destinations, will now pay $50 for the first checked bag and $60 for the second. If you have a third bag, it will cost you a whopping $200! However, if you pay online or through the American Airlines app in advance, you can save $5 on each bag, bringing the fees down to $45 and $55, respectively. But let’s be honest, this isn’t really a discount; it’s just a way to reward those who help the airline reduce staffing costs at the airport.

The Days of Affordable Baggage Fees Are Over

Remember when we used to complain about $20 checked baggage fees? Now, bringing along clothes or a bottle of wine could cost you up to $50 each way! It’s quite absurd, especially since airfare prices have been consistently rising since the COVID-19 pandemic. The quality of service and legroom hasn’t improved at all!

Passengers purchasing Basic Economy tickets are hit even harder. Starting May 18, the fee for the first checked bag will jump to $55, and the second bag will cost $65. However, similar to other fare classes, buyers can unlock a $5 “digital coupon” when paying in advance.

The Race to Increase Baggage Fees Among Airlines

If this sounds familiar, it’s because American Airlines is one of the last major carriers in the U.S. to raise baggage fees. JetBlue initiated this trend at the end of March, just days after Trump launched a “not war” initiative in Iran. With soaring fuel prices, airlines are scrambling to increase their revenue. Following JetBlue, United raised their fees on April 3, Delta on April 8, and both Southwest and Alaska joined in this week.

Comparative Baggage Fees Among Airlines

Now, American, Delta, and United have nearly identical baggage fees (including discounts for advance payments). Notably, Alaska has eliminated advance payment discounts just before these new fees took effect on April 10.

• First Bag: Alaska $45, American $50, Delta $45, JetBlue $49, Southwest $45, United $50
• Second Bag: Alaska $55, American $60, Delta $55, JetBlue $69, Southwest $55, United $60

Fuel Prices Driving Up Baggage Costs

Don’t forget that it won’t be until May 2025 that Southwest starts charging for checked baggage. Now, less than a year later, prices have skyrocketed. It’s quite the joke. The main culprit here is fuel prices. Airlines had budgeted for jet fuel at around $2.50 to $2.70 per gallon. However, global prices surged from about $96 per barrel at the end of February to nearly $197 per barrel by the end of March. As of April 9, the U.S. jet fuel price index reached $4.25 per gallon. This shocking increase has completely distorted the cost predictions in the aviation industry.

Many European and Asian airlines have opted to implement temporary fuel surcharges (which are more transparent, though not favored by customers), while U.S. airlines are primarily choosing to quietly hike other fees. Delta has announced plans to cut some low-demand flights, especially during off-peak hours, indicating that single baggage fees won't be enough to offset this increase. In other words, the era of “unbundled” air travel continues, and your suitcase is paying the price.