Cathay says surcharge to rise as fuel prices jump during Mid-East war

The price of fuel so far in March is double the average of the previous two months. Read more at straitstimes.com.

HONG KONG – Hong Kong aviation giant Cathay Pacific said on March 11 that fuel surcharges would rise as prices soared in March after war broke out in the Middle East.

The price of fuel so far in March is double the average of the previous two months, CEO Ronald Lam announced at a news conference.

Energy concerns arising from the war have driven up oil prices, with some Asian airlines hiking ticket fares in response.

“In March, like ever since the Middle East episode began, the costs of our fuel already doubled,” Mr Lam said. “So we are going to announce (a surcharge rise) very soon... in order to ensure the smooth operation of our flights.”

The announcement came after Cathay predicted in a filing earlier on March 11 that it would boost passenger capacity by around 10 per cent in 2026 despite the “volatile” geopolitical environment.

The Cathay Group reported an attributable profit of HK$10.8 billion (S$1.76 billion) in 2025, an increase of 9.5 per cent on the previous year, which it said was driven by “increased capacity, solid passenger load factors and resilient cargo demand”.