China’s airlines have increased their fuel surcharges, China Daily has reported.
Faced with rising jet fuel prices and plunging profits, the country’s airlines today hiked the fuel surcharges on their domestic routes by up to 40%. The surcharges for route up to 800km has risen 40% from CNY50 to CNY70 (US$7.90-11), while surcharges for routes exceeding 800km climbed 30% from CNY100 to CNY130.
The decision follows a dramatic slump in profits for many of China’s large domestic carriers. Air China saw its first half profits fall 74% this year, while China Southern’s income plunged 84%.