Global Airport News

Global Airport News

Air China and other Chinese carriers have raised their fuel surcharges for domestic routes for the second time this year to help offset cost pressure amid surging oil prices, state media said on Friday.

Carriers including China Eastern Airlines raised the fuel surcharge to CNY110 yuan from CNY90 for domestic flights of more than 800 km (500 miles), while rates for shorter distance have been marked up to CNY60 yuan from CNY50, CCTV said.

The most recent fuel surcharge increase for domestic routes happened in February.

Fuel typically accounts for 40 percent of Chinese airlines' operating costs. Many industry executives, including Li Jun, deputy general manager of China Eastern, had warned of a negative impact on carriers if oil prices continued their uptrend.