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Major Chinese airlines to raise freight fuel price

(chinadaily.com.cn)
Updated: 2009-08-26 15:28

The country's three main airlines -- Air China, China Southern Airlines and China Eastern Airlines -- will be raising domestic freight fuel prices starting today, Changjiang Daily, a Wuhan-based newspaper, reported Wednesday.

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China Southern Airlines has increased the freight fuel price to 300 yuan ($43.8) per ton, 50 percent up from the previous 200 yuan (US$29.2) per ton.

Experts said the raise was mainly due to the recent spike of the global crude oil price, which reached $75 a barrel -- a 10-month high -- in trading on Tuesday.

They predict that the freight fuel price hike will help ease the cost of airlines, but will have a big impact on air logistics companies.