Japan Airlines to hike international freight fuel surcharge again


TOKYO (XFNews) - Japan Airlines (JAL) said it will raise its surcharges on international freight for the second time in as many months as fuel costs remain high.

JAL will raise the surcharge to 42 yen a kilogram from 36 yen, provided that the plan is approved by the transport ministry here, the company said. It will be the fifth hike in the surcharge since 2004.

The airline has already increased surcharges for passengers on international routes twice this year because of the high cost of oil.

JAL said it calculates its costs for international freight services assuming the price for a barrel of jet fuel in Singapore stands at 23.2 usd, the average price between 1995 and 1999.

"The current spot price of Singapore kerosene is around 70 usd per barrel, so the cost is still much higher than what we are factoring-in to raise the surcharge to 42 yen," JAL spokesman Atsushi Abe said.

All Nippon Airways (ANA), Japan's second largest airline, also said it is considering raising the surcharge on international freight.

"Although there is no concrete timeframe, we have started examining raising the surcharge. Given current oil prices, it seems inevitable to raise it," said ANA spokesman Fumiyoshi Fukumori.

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