Jet fuel price hikes continue
3 August 2006
China raised local prices of jet fuel by about 5% to US$725 a metric ton from July 21, an official from the monopoly state-run jet-fuel distributor told the Wall Street Journal, citing a statement issued Tuesday by the National Development and Reform Commission (NDRC). The increase is in step with higher international prices, but is likely to increase losses at domestic airlines, which together lost US$322 million in the first half as costs rose 21% on increasing jet-fuel costs. This is the third time the NDRC has raised domestic prices since March, when a ton of jet fuel cost US$588.