Taiwanese airlines cut fuel surcharges

Market: Oil products
04/06/10

Singapore, 4 June (Argus) — Taiwanese airlines will lower their fuel surcharges for the first time since January last year, bucking the rising trend seen in the rest of Asia-Pacific.

Effective 10 June, passengers taking long-haul flights on Taiwanese carriers will pay a fuel surcharge of $45.50 instead of $52, while those on short-hauls will pay $17.50 instead of $20, said Taiwan's civil aeronautics administration that regulates civil aviation activities on the island. There are eight Taiwanese carriers, of which China Airlines and Eva Airways are the largest.

The decision was made in light of state-owned refiner's CPC 1 June announcement that it is lowering its jet fuel domestic prices by $6.69/bl to $96.49/bl. CPC said last week that it was cutting the prices of its refined products to reflect a 6.33pc decline in its average crude costs to $72.63/bl.

Airlines elsewhere had been seeking to raise prices. Civil authorities in Hong Kong, Japan, South Korea and the Philippines are among those who had approved fuel surcharge increases effective either in June or July.

Fuel surcharges in Japan and South Korea are explicitly tied to a set formula, while in Hong Kong and Taiwan, individual airlines usually petition for surcharge revisions that are then reviewed by the authorities.

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Taiwanese airlines cut fuel surcharges

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Kazakhstan, Chad to get fossil fuel transition funding

Kazakhstan, Chad to get fossil fuel transition funding

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