China Airlines to Reduce Fuel Surcharge on Air Cargo by Over 20% Starting July 1

After two consecutive months of increases, air cargo fuel surcharges are seeing their first reduction. China Airlines has notified its agents that it will lower fuel surcharges for cargo exports from Taiwan to Europe, the U.S., and Asian regions, effective July 1, with reductions exceeding 20%.

In response to falling oil prices, China Airlines' Taiwan Cargo Center issued a notice on the 17th, stating that based on the company's average fuel purchase cost and with approval from the Civil Aeronautics Administration, fuel surcharges for cargo exports from Taiwan to Europe, the U.S., and Asia will be adjusted effective July 1.

Specifically, the fuel surcharge for cargo shipments from Taiwan to Europe and the U.S. will be reduced from the current NT$84 per kilogram to NT$62, a decrease of approximately 26%. For shipments to Asia, the surcharge will drop from NT$29 to NT$21 per kilogram, a reduction of about 27.5%.

In May, the three major Taiwanese airlines doubled their cargo fuel surcharges to cope with soaring oil prices. In June, passenger fuel surcharges were reduced by about 22% starting July 1, while cargo surcharges were slightly increased by around 3.5% from July 2 due to differing pricing formulas and strong demand for AI-related high-tech goods. However, starting July, cargo fuel surcharges will now be lowered. (Edited by Lin Chia-hsien)