Taipei: Taiwan’s major airlines are set to increase their cargo fuel surcharges starting in May, with rates for shipments to key destinations such as the United States, Europe, and Asia expected to nearly double due to rising oil prices. China Airlines announced on Monday that after reporting average fuel costs to regulators, it will adjust export cargo fuel surcharges from Taiwan beginning May 1.

According to Focus Taiwan, for shipments to the U.S. and Europe, the surcharge will rise significantly from NT$41 (US$1.3) to NT$81 per kilogram. Similarly, for Asia-bound cargo, the rate will increase from NT$14 to NT$28 per kilogram. Following China Airlines, EVA Airways and Starlux Airlines disclosed on Tuesday that they would implement the same increases starting May 2, affecting both long-haul and short-haul cargo exports from Taiwan.

Freight forwarders have indicated that the hikes are a response to climbing aviation fuel costs, with surcharges having already been adjusted once in April. They noted that current air cargo rates from Taiwan to the U.S. range between NT$261 to NT$291 per kilogram and could potentially exceed NT$300 after the new increases take effect.

With the upcoming May 1-3 Labor Day holiday and the prospect of further hikes, the industry expects a surge in shipments in late April as exporters aim to circumvent the higher costs. Experts predict that capacity on U.S.-bound routes might become considerably restricted by the end of the month.