Airlines’ soaring cargo fuel surcharges spark fears of profiteering
Surge in global oil prices also prompts courier SF Express to impose temporary fuel surcharges within Hong Kong and Macau
Gary Lau Ho-yin, chairman of the Hong Kong Association of Freight Forwarding and Logistics, said on Monday that the surcharge increases were far higher than the 30 to 40 per cent rise in international crude oil prices.
“We expected major airlines to double their existing rates, but they are quadrupling the surcharges … Their adjustment mechanism is opaque, and they will review [the surcharges] again after two weeks. The surcharges can continue to go up,” he said.
“If the airline companies cannot justify the multifold surge in surcharges, they can be seen as taking advantage of market fluctuations and profiteering, rather than reflecting their costs.”
He said the industry and consumers would bear the extra costs, dealing a blow to the city’s economy and its status as an international logistics hub.
Lau said he hoped the government would intervene and mediate, adding that the airlines should set reasonable surcharges. Otherwise, the sector could take further action.