Flight tickets with AirAsia are getting significantly more expensive. The increase comes as jet fuel prices have more than doubled in recent weeks, driven by escalating conflict in the Middle East.
AirAsia X has raised ticket prices by up to 40 percent as fuel costs continue to surge, according to Thaiger.
From $90 to $200
Before the latest spike, Jet A-1 fuel cost around $90 per barrel. It has now jumped to around $200 per barrel.
The airline says rising fuel costs are now its biggest challenge and that part of the increase has to be passed on to passengers.
AirAsia co-founder Tony Fernandes said the situation is unavoidable, Thaiger reports from the briefing.
AirAsia X does not use fuel hedging, meaning it buys fuel at current market prices instead of locked-in rates.
The airline has also increased fuel surcharges by 20% and is monitoring possible fuel shortages in countries including Malaysia, Vietnam and the Philippines.
What it means for passengers
For travellers, this means higher ticket prices and fewer cheap flight options.
Low-cost airlines like AirAsia are especially affected by fuel prices, which make up a large share of operating costs.
Passengers may also see fewer routes, higher surcharges and less flexibility as airlines adjust to rising expenses.
