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Currently, air shipments out of Hong Kong are subject to a fuel surcharge (FSC) of $0.26/kg. This increase (up from $0.19/kg) took effect on May 1st, 2019. The FSC will increase from $0.26/kg to $0.31/kg on June 1st, 2019.
The air cargo fuel surcharge is applied to the chargeable weight of a shipment.
Why is this surcharge assessed for air shipments out of HKG?
The regulatory body of Hong Kong aviation, the Hong Kong Civil Aviation Department (HKCAD), announced on March 10, 2017 that airlines will be permitted to levy air cargo fuel surcharges for flights originating from Hong Kong. The policy went into effect on April 1, 2017 and allows airlines to impose air cargo fuel surcharges at or below the HKCAD’s recommended rate until further notice.
The decision for the HKCAD to deregulate the levying of air cargo fuel surcharges is primarily the result of rising crude oil prices, which increased over 75% from January 2016 to January 2017 and significantly affect airline operating costs. Airlines can choose to either levy the HKCAD’s recommended fuel surcharge, or implement an air cargo fuel surcharge below the recommended rate.