Hong Kong’s Cathay Pacific hikes fuel surcharges by 34% from April 1, citing soaring jet fuel costs driven by Middle East war and global oil price volatility.
HONG KONG: Cathay Pacific announced a 34% increase in fuel surcharges on all its flights. The hike, effective from April 1, is a direct response to soaring global jet fuel prices.
The airline attributed the rise to significant increases in both crude oil and refinery costs in recent weeks. “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 stated.
Short-haul flight surcharges will rise by 34.1%, with medium- and long-haul increases set at 34.0%. This follows a previous doubling of surcharges on most routes due to the Middle East conflict.
According to International Air Transport Association data, average jet fuel prices surged to USD 197 per barrel last week. This marks a sharp rise from USD 95.5 a barrel just a month ago.
Cathay has also extended flight suspensions to and from Dubai and Riyadh until May 31. Concurrently, it will operate extra flights to London, Paris and Zurich to meet rising European travel demand.
The airline joins many global carriers in implementing such charges amid volatile oil markets.
Cathay said it will review and revise its fuel surcharge every two weeks as prices remain unstable.