Airlines raise fares, fuel surcharges amid wild oil price swings

Over a dozen major international airlines have had to take action as oil markets and travellers react to the war in Iran. Photo by Jaromir/Getty ImagesArticle contentAirlines across Europe and Asia are increasing fares and raising fuel surcharges as the Iran war sends oil prices swinging wildly and stokes fears of jet-fuel shortages if the fighting persists.Sign In or Create an AccountEmail AddressContinueor View more offersArticle contentDemand for alternative routes that bypass the Middle East is also surging, pushing up ticket prices. More than 43,000 flights scheduled in and out of the Middle East were cancelled between Feb. 28 and March 10, according to data from analytics firm Cirium Ltd.Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.We apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Play VideoArticle contentArticle contentHere is a rolling list of airlines that have announced increases to fares and fuel surcharges:Article contentTop StoriesGet the latest headlines, breaking news and columns.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article contentAirAsiaArticle contentSoutheast Asia’s biggest budget carrier has raised fares and adjusted fuel surcharges, but without specifying by how much. The airline said it will “dynamically monitor market conditions and react proactively as and when needed.”Article contentAir IndiaArticle contentAir India and Air India Express will phase in fuel surcharges across domestic and international routes from March 12.Article contentFrom March 12 a surcharge of 399 rupees (US$4.35) will be added to domestic flights and services to South Asia, West Asia and the Middle East. Surcharges to Southeast Asia will rise to US$60 from US$40, and for Africa to US$90 from US$60.From March 18, the surcharge for Europe will rise US$25 to US$125, and to North America and Australia by US$50 to US$200.Surcharges to Hong Kong, Japan and South Korea to be announced laterArticle contentAir New ZealandArticle contentThe airline said March 10 it will raise fares by an unspecified amount, and may need to take further pricing action and adjust its network and schedule if fuel costs remain elevated. The company also suspended its earnings guidance, saying assumptions on fuel costs announced late last month are no longer valid.Article contentArticle contentRead More Canadian travel to the U.S. down 30% from before Trump's tariff war Jet fuel prices surge as Iran war disrupts Middle East exports Article contentCathay PacificArticle contentThe Hong Kong airline says it will raise fuel surcharges on flights imminently to cover its costs.Article contentFinnairArticle contentIn the aftermath of Russia’s invasion of Ukraine, the Finnish carrier pivoted to relying on a long-haul network that flew to Doha and Dubai. The airline has cancelled all flights through those cities at least through the end of this month, and it says the current turmoil in oil markets will be reflected in ticket prices. Thus, there’s no need for a separate fuel charge.Article contentHong Kong AirlinesArticle contentHong Kong Airlines increased fuel surcharges, starting March 12, on a range of routes, including a 35 PER CENT increase, or HK$100 (us$12.80), to the Maldives, Nepal and Bangladesh. The levy on long-haul destinations including Australia and North America will rise HK$150 to HK$739.Article contentJapan AirlinesArticle contentJAL, which already applies a fuel surcharge on international routes, said it has no plans to bring forward changes to levies before April 1.Article contentNorse AtlanticArticle contentThe Norwegian budget airline said higher oil prices likely will be reflected in fares or as a specific surcharge.Trending Should couple in their 50s who want to retire tap into RRSPs or apply for CPP?

Family Finance Posthaste: Canada is losing the productivity battle, even in the grocery aisles News Here's why bets are rising for interest rate hikes including for Canada Economy Canada weighs options to boost oil supply as Iran war causes market turmoil Oil & Gas Danielle Smith: There is no global energy security without Canadian energy Oil & Gas Article contentQantasArticle contentAustralia’s largest carrier is raising fares on international routes by around five per cent on average. Jet fuel prices have risen by as much as 150 per cent in the past two weeks, which is driving up costs across the business, Qantas said. Flights on European routes, including Perth-London, Perth-Paris and services via Singapore, are more than 90 per cent full this month, up from a typical load factor of 75 per cent at this time of year.Article contentSASArticle contentThe Scandinavian carrier introduced what it’s calling temporary fuel-related price adjustments given the rapid increase in oil prices.Article contentSpiceJetArticle contentFounder Ajay Singh said carriers will have “no choice” but to impose a fuel surcharge. He is looking for the government to lower jet fuel taxes, warning that even US$90 a barrel oil is “completely unsustainable.” Singh said SpiceJet has considered grounding planes if high oil prices persist and that airlines may have to rethink their expansion plans in such an environment.Article contentThai AirwaysArticle contentThe carrier is planning to raise ticket prices 10 per cent-15 per cent to cover surging fuel costs.Article contentVirgin AtlanticArticle contentThe United Kingdom-based airline hedges against high oil prices, though it has a dynamic pricing system based on passenger demand.Article contentBloomberg.comArticle contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Play VideoArticle contentShare this article in your social networkCommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information. Should couple in their 50s who want to retire tap into RRSPs or apply for CPP?

Family Finance Posthaste: Canada is losing the productivity battle, even in the grocery aisles News Here's why bets are rising for interest rate hikes including for Canada Economy Canada weighs options to boost oil supply as Iran war causes market turmoil Oil & Gas Danielle Smith: There is no global energy security without Canadian energy Oil & Gas