Airlines hiking fees, fares
Airlines are passing higher jet‑fuel costs to customers this spring, raising both fares and ancillary fees as carriers watch oil‑price volatility linked to Middle East events. ( ). U.S. baggage fees have climbed — some carriers now charge around $110 round‑trip to check one bag — and analysts say airlines pushed March fare increases through as fuel rose. ( ).
U.S. airlines are making spring travel more expensive by raising both ticket prices and checked-bag fees as jet-fuel costs jump. (cnbc.com) Jet fuel is usually an airline’s biggest cost after labor, and it can account for 20% or more of expenses. Analysts told CNBC in March that carriers were already pushing fare increases through the market as fuel rose. (cnbc.com) By late March, jet-fuel prices were up about 106% from a month earlier, according to International Air Transport Association data cited by CNBC. Some airlines also began adding fuel surcharges or warning that higher prices would hit results. (cnbc.com) The baggage-fee increases are now spreading across major United States carriers. JetBlue raised first checked-bag fees on many routes to $39 off-peak and $49 in peak periods, up from $35 and $40. (cnbc.com) United Airlines raised checked-bag fees by $10 for tickets bought on or after April 3, taking its standard first-bag charge on many routes to $50. FlightGlobal reported the move as part of a broader push to offset elevated fuel costs. (thepointsguy.com, flightglobal.com) Delta Air Lines and Southwest Airlines followed with their own $10 bag-fee increases, CNBC reported on April 7. That made them the third and fourth major United States carriers to raise checked-bag prices in the latest fuel spike. (cnbc.com) Those changes add up quickly for families. A traveler checking one bag each way on a round trip can now pay about $100 on some major carriers, and more once higher peak-period pricing is included. (thepointsguy.com, cnbc.com) Airlines are also dealing with supply worries, not just higher prices. CNBC reported on April 7 that carriers were watching whether enough jet fuel would be available after the United States and Israel attacked Iran on February 28. (cnbc.com) Executives have been unusually blunt about the risk. United Chief Executive Scott Kirby said on March 21 that if oil stayed above $100 a barrel through next year, United’s annual fuel bill would rise by about $11 billion. (cnbc.com) For passengers booking spring and summer trips, the pattern is now clear: the fare on the search page is rising, and the extras at checkout are rising with it. (cnbc.com, cnbc.com)
