South Korea's two major airlines are likely to cut fuel surcharges for international routes in September, reflecting a fall in jet fuel prices, industry sources said Tuesday.
Korean Air Lines Co., the nation's largest carrier, and its rival Asiana Airlines Inc., may reduce their fuel surcharges for round-trip, long-haul flights to Europe and the United States to US$100 from $118, the airlines said.
The government-set surcharge system allows the carriers to adjust surcharges for international routes monthly in tandem with the average price
of fuel oil in the previous two months.
The average price of jet fuel hovered at about $2.04 a gallon on Singapore's spot market from June to July, down from $2.18 a gallon between
April and May.
The airlines can adjust fuel surcharges on their international flights if the average price of jet fuel is above $1.5 a gallon.