Fuel surcharges for international air express shipments will increase in September due to risingoil prices after declining in August and July to earlier falls in crude oil prices around the
world.The higher surcharges for September reflect the upturn in oil prices that started in lateJune and continued through July and August. The price of Brent Crude oil topped $100 per barrel inearly July and rose to more than $110 during August. Today it was trading at about $112 per barrel.
In response to this trend, the four leading international air express operators – DHL, UPS,FedEx and TNT – have all raised their index-based surcharges in Europe, the US and Asia forSeptember 2012, CEP-Research analysis shows.
In Europe, DHL and FedEx both increased their surcharges for September to 17 per cent from 16per cent in August while TNT Express’s European surcharge will rise to 19.5 per cent from 18.5 percent this month. UPS’s surcharge will go up to 15 per cent in September from 13.5 per cent inAugust.
In the US, FedEx, UPS and DHL all raised their surcharges, from 10 per cent in August to 11.5per cent for next month.
In Asia Pacific, DHL, which has the highest level, raised its surcharge from 21 per cent inAugust to 22.5 per cent for September while TNT Express’s surcharge for Asia Pacific, Middle Eastand Africa will rise to 19 per cent from 18.5 per cent this month. UPS has increased its Asiasurcharge to 19 per cent for next month from 17.5 per cent at present, while FedEx’s surcharge willincrease to 16 per cent for September from 14 per cent in August.
The air express fuel surcharges for September reflect the oil price level two months ago. Thefour integrators calculate their surcharges based on indices showing the previous month’s oil pricelevel and announce them in advance for the following month. This results in a two-month time lagbetween the fuel price and surcharge changes.
