Australia’s consumer watchdog has filed legal action against AirAsia X, claiming the Malaysia airline failed to disclose the full price of international flights from Australia.

The ACCC has filed documents in Australia's Federal Court which claims AirAsia X's  website did not include taxes and fees as part of advertised fares to London plus a range of destinations in Asia.

“Businesses that choose to advertise a part of the price of a particular product or service must also prominently specify a single total price,” the ACCC said in a statement.

The ACCC is seeking penalties, an injunction restraining AirAsia from “engaging in misleading conduct in the future,” and a court order forcing the airline to publish corrective notices on its website.

The move comes as AirAsia X ramps up services to Australia, launching a daily flight between Kuala Lampur and Sydney.