China’s major airlines to raise fuel surcharge

China’s three major airlines reached an agreement to increase jet fuel surcharges on domestic routes to offset the impact of escalating oil prices, the Guangzhou Daily reported. Earlier this week, China’s National Development and Reform Commission (NDRC) raised the prices of gasoline, diesel, kerosene by 500 yuan per ton, the second hike in this year.

The newspaper said the three major carriers—Air China, China Southern and China Eastern, agreed to raise the jet fuel surcharge to 100 yuan from 60 for routes over 800 kilometers.

The surcharge for flights under 800 kilometers will rise to 50 yuan from 30, the newspaper added, citing industry sources.

The agreement is subject to the approval of the General Administration of Civil Aviation of China (CAAC) and NDRC.

On June 1, jet fuel surcharges on flights to Hong Kong and Macau will rise to 109 hkd from 90, with the surcharge on return tickets raised to 218 hkd from 180, the newspaper added.
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