Cathay Pacific doubles fuel surcharge on most flights due to Gulf conflict
The surcharge is as high as HK$1,164 – versus HK$569 – as jet fuel prices soar
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[SINGAPORE] Hong Kong-based carrier Cathay Pacific on Thursday (Mar 12) said that it will increase the fuel surcharge for most of its flights from Mar 18.
The surcharge, which is included in ticket prices, will be roughly doubled. For short-haul flights, it will be HK$290 (S$47.26) compared with HK$142 currently; for medium-haul flights, it will rise to HK$541 from HK$246; and for long-haul flights, it will stand at HK$1,164, up from HK$569.
“The fuel surcharge is reviewed regularly and closely tracks the price of refined jet fuel,” said the company in a statement.
It noted that the price of jet fuel has doubled since March amid the latest developments in the Middle East.
The surcharge increase will affect most of its flights, but not all.
The flights that will remain unaffected include those between Hong Kong and the Chinese mainland, between Hong Kong and the Philippines, and flights originating from Japan.
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Fuel surcharges will be adjusted on a monthly basis, based on jet fuel prices, the airline added.
Crude oil prices have been rising sharply because of the conflict in the Middle East. While Brent crude prices have risen by a third, that of jet fuel has doubled.
The Cathay group reported a 9.5 per cent rise in profit to HK$10.8 billion for the financial year 2025, as revenue hit HK$116.8 billion on increased passenger and cargo demand.
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Cathay’s chief financial officer Rebecca Sharpe said at an earnings briefing on Wednesday that the company’s hedging is on crude oil rather than jet fuel.
“And therefore, while we do have some protection from that hedging, obviously, it’s not protecting against the jet fuel price in totality,” she said.
Other airlines have announced ticket or surcharge increases as a response to climbing fuel costs, including Air New Zealand, Qantas Airways, Hong Kong Airlines and Scandinavian Airlines.
Aviation industry observers said that Asia-Pacific carriers such as Singapore Airlines and Cathay Pacific could benefit from increased traffic as Middle Eastern carriers and hubs are disrupted by the conflict.
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