Cathay raises fuel surcharges due to US-Israel war on Iran

Hong Kong carrier Cathay Pacific announced that it will be adjusting the fuel surcharge for passengers effective 1 April 2026. The airline said charges will be: Short-haul flights: HK$389 (from the current HK$290, increase of HK$99). Medium-haul flights: HK$725 (from the current HK$541, increase of HK$184). Long-haul flights: HK$1,560 (from the current HK$1,164, increase of HK$396). “To enable a more agile response to the volatile jet fuel prices, we will review and revise the fuel surcharge every two weeks to better capture jet fuel price movements in either upward or downward direction. This increased frequency of review is intended as a temporary measure and will be revisited when the Middle East situation stabilises,” the airline said in a statement. The jet fuel that aircraft use is made by refining crude oil, and so the price of jet fuel comprises both the crude oil component and the refinery component, both of which have increased significantly in recent weeks. According to the latest price data published by the International Air Transport Association (IATA), the global average jet fuel price increased to US$197.00 per barrel for the week ending 20 March 2026, increasing from US$157.41 per barrel for the week ending 6 March 2026, and US$95.95 per barrel for the week ending 20 February 2026, the airline said. Breaking this down, crude oil increased to US$110.78 per barrel for the week ending 20 March 2026. At the same time, the refinery component (weekly average crack spread) increased to US$86.22 per barrel for the week ending 20 March 2026, increasing from US$72.26 per barrel for the week ending 6 March 2026, and US$24.48 per barrel for the week ending 20 February 2026. Together, these increases illustrate the sharp rise in overall jet fuel price. Fuel accounted for approximately 30% of Cathay Pacific’s total operating costs in 2025 and is critical to our operations. If the steep increase of fuel costs cannot be effectively mitigated, we would not be able to sustain the effective operations of our network. Like many airlines, Cathay undertakes fuel hedging to manage fuel price volatility. However, in 2026 our hedging covers only around 30% of the crude oil component and hedging does not apply to the refinery component, making this measure insufficient given the scale of the recent surge in jet fuel price. “We note that some major airlines have reduced their capacity in response to the escalating fuel prices. Cathay Pacific is determined to manage this significant cost challenge as best we could, in order to maintain our network and frequencies during these unprecedented times in the interest of our customers, business partners and the Hong Kong international aviation hub,” the airline said. War forces Airport Show 2026 to reschedule RX has confirmed that the 2026 edition of Airport Show co-located with Global Airport Leaders’ Forum and Women In Aviation Middle East Conference, originally scheduled to take place from 12–14 May at Dubai World Trade Centre, will now take place from 12-14 October 2026, with the venue remaining unchanged. The decision to reschedule the event has been made to prioritise the safety and well-being of customers, partners and colleagues, and to give the MEASA airport community greater confidence and flexibility to attend. May Ismail, Exhibition Manager, Airport Show, said: “Airport Show has long served as a vital platform for bringing the airport community across the MEASA region together in Dubai, enabling suppliers and airport leaders to connect, collaborate and shape the future growth of the sector. The safety and well-being of our customers, partners and colleagues remains our highest priority, and the decision to run Airport Show 2026 later in the year reflects our commitment to ensuring that everyone can participate with confidence and for everyone to enjoy flexibility in planning their participation at this important industry gathering. We look forward to welcoming the airport community back to Dubai in October.” For Editorial Inquiries Contact: Editor Matt Driskill at [email protected] For Advertising Inquiries Contact: Head of Sales Sally Passey at [email protected]