
Hong Kong aviation giant Cathay Pacific announced Thursday it was raising fuel surcharges on all flights by 34 percent as a result of increasing oil costs due to the Middle East war.
"The price of jet fuel comprises both the crude oil component and the refinery component, both of which have increased significantly in recent weeks," the company said in a statement.
It also shared a list outlining surcharge increases on short-haul flights of 34.1 percent, while medium- and long-haul would increase by 34 percent exactly.
The hike in fees will apply to tickets from April 1, the statement added.
Average jet fuel prices increased globally to US$197 per barrel last week, up from US$95.50 a month ago, according to data by the International Air Transport Association (IATA).
"If the steep increase of fuel costs cannot be effectively mitigated, we would not be able to sustain the effective operations of our network," Cathay said.
It previously doubled fuel surcharges for most of its routes as a result of the war in the Middle East, and this week extended flight suspensions to and from Dubai and Riyadh until May 31.
It also said Wednesday it will operate extra flights to London, Paris and Zurich "to cater for an upsurge in market demand for Europe".
Many global airlines have implemented fuel surcharges in response to the increase in oil costs.
Cathay said it will review and revise its fuel surcharge every two weeks as a temporary measure because fuel prices remain volatile.
Analysts told AFP that while carriers all hedge a portion of their fuel costs, their margins could still be affected.
Cathay said Thursday its hedging covers only around 30 percent of the crude oil component, but does not apply to the refinery component.
The measure is insufficient "given the scale of the recent surge in jet fuel prices", it said.
The airline "is determined to manage this significant cost challenge as best we could, in order to maintain our network and frequencies during these unprecedented times".
twa/mjw
LATEST POSTS
- 1
1st-ever disease gene fix, Alzheimer's blood test: 7 medical breakthroughs in 2025 - 2
James Webb Space Telescope discovers a lemon-shaped exoplanet unlike anything seen before: 'What the heck is this?' - 3
Authentic Urban areas: Rich Legacy and Lively Societies - 4
The Excursion to Monetary Proficiency: Individual budget Triumphs - 5
German Cabinet advances bill to cut greenhouse emissions from fuels
Step by step instructions to Protect Your Retirement with Senior Protection.
Wisconsin archaeologists identify 16 ancient canoes in a prehistoric lake 'parking lot'
Ukrainian drones hit all three Baltic States − did Russia redirect them?
Consumers advised to dispose of 19 cooking pans due to lead leaching risk, FDA reports
Landon Donovan knew he couldn’t hide his hair loss. So he turned to fans for help.
Former 'Bachelorette' welcomes 1st baby via emergency c-section
South Carolina measles outbreak grows by nearly 100, spreads to North Carolina and Ohio
Mussolini's summer villa on Adriatic coast sold for €1.2 million
She loves to give experiences. He goes for sentimental gifts. They ask an expert: What is the perfect holiday present?













