Two additional trigger levels have been added to the Fuel Price Index on the Lufthansa Cargo website (http://www.lufthansacargo.com/index.jsp), the mechanism that sets the fuel surcharge levels for air cargo.
Level 11 - Fuel price exceeds 365 for a period of two consecutive weeks: Fuel surcharge will be adjusted to HK$4.40 per kg AND fuel price index below 345 for a period of two consecutive weeks: Fuel surcharge will be adjusted to HK$4 per kg.
Level12 - Fuel price exceeds 390 for a period of two consecutive weeks: Fuel surcharge will be adjusted to HK$4.80 per kg AND fuel price index below 370 for a period of two consecutive weeks: Fuel surcharge will be adjusted to HK$4.40 per kg.
The above two levels is added to the previous index below:
FPI |
Fuel Surcharge |
115 |
|
135 |
HK$0.80 |
165 |
HK$1.20 |
190 |
HK$1.60 |
215 |
HK$1.95 |
240 |
HK$2.34 |
265 |
HK$2.80 |
290 |
HK$3.20 |
315 |
HK$3.60 |
340 |
HK$4.00 |
As per the current prectise, the above surcharge will apply only to TC1 (North and South America), TC2 (Europe, Middle East and Africa), and part of TC3 (South and Southwest Pacific). Other destinations in TC3 (all of Asia other than South and Southwest Pacific) will be subject to 50% of the surcharge due to shorter distance and less fuel consumption.
The FPI is a sliding mechanism that allows for the lowering of the surcharge when conditions apply. |
