Cathay Pacific about to increase fuel surcharge again

Cathay Pacific on Thursday announced it will increase its fuel surcharge by about 34 percent from next month amid rising oil prices driven by the ongoing conflict in the Middle East. The airline more than doubled its fuel surcharge earlier this month, and from April 1, the charge for long-haul flights will rise again from HK$1,164 to HK$1,560. The fee for medium-haul trips between Hong Kong and destinations in South Asia will increase from HK$541 to HK$725, while that for short-haul journeys will jump from HK$290 to HK$389. "To enable a more agile response to the volatile jet fuel prices, we will review and revise the fuel surcharge every two weeks to better capture jet fuel price movements in either upward or downward direction," the carrier said in a statement. "This increased frequency of review is intended as a temporary measure and will be revisited when the Middle East situation stabilises." The carrier noted that some major airlines have reduced their capacity in response to escalating fuel prices. "Cathay Pacific is determined to manage this significant cost challenge as best we could, in order to maintain our network and frequencies during these unprecedented times in the interest of our customers, business partners and the Hong Kong international aviation hub," it said. Edited by Thomas McAlinden