Cargolux lowers fuel surcharge from early December

Luxembourg-based all-cargo carrier Cargolux will reduce its fuel surcharge on all shipments as of Dec. 2, 2019, the carrier said in an announcement on Monday.

The carrier is decreasing its surcharge per kilo by €0.05, to €0.60 per kilo or the equivalent in local currency. The reduction follows an earlier increase to €0.65 per kilo in September after attacks at Saudi Aramco facilities temporarily disrupted crude oil production. So far in 2019, Cargolux’s fuel surcharges have ranged from €0.55-0.65 per kilo.

Spot prices for kerosene-type jet fuel at the U.S. Gulf Coast have indeed trended downward over the past several weeks, according to the U.S. Energy Information Administration (EIA). After increasing to US$1.97 per gallon on Sept. 16, prices declined to $1.77 by Nov. 18, the most recent date for which the EIA lists spot prices.

Meanwhile, the jet fuel price monitor provided by the International Air Transport Association (IATA), with pricing information from Platts, indicates that jet fuel for Europe and CIS countries stood at about $78.85 per barrel, slightly above the global average, for the week of Nov. 22. While prices in Europe were down week-over-week by 0.9%, and down month-over-month by 2.1%, compared to the same week in 2018, jet fuel prices were up 0.8% for the region.