Flying High: What's Behind Rising International Airfares
by quiet_american | Posted on Jul 28 2010 | Beijingologist 0 Comments | 0 Bookmarked
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With an average increase of 10 percent over the same period last year, rising international air fares are causing some to forgo their summer travel plans.

Round-trip fares from Beijing to New York this August start at roughly ¥11,000. This is a significant increase over last year, when tickets could be had for around ¥7,000. Moreover, round-trip tickets from Beijing (and other major cities in Asia) are notably more expensive than round-trip tickets from North America to Asia.

Though more passengers are flying worldwide this summer than ever before, according to a recent CBS News report, airlines are flying fewer planes to cut costs. The result is an average of eight percent fewer seats available for an increased number of passengers, with scores of jets grounded, or “mothballed,” in an effort to maximize the number of passengers per trip.

The number of airplanes that have been mothballed at U.S. airports is equivalent to the fleet of an entire major U.S. carrier. According to the report, the price of flights from New York to London has jumped 42 percent over last year.

Recovery from the latest global recession is playing a role in rising ticket prices, says Richard Yang, Marketing Communication Officer for FCM Travel Solutions. “Some routes to the U.S. have [also] increased fuel fees this year.”

Ironically, domestic airfares within China are falling, due to the increasing number of high-speed rail lines. According to China Daily, a newly opened Guangzhou to Changsha service has forced China Southern to drop prices by 20 percent for that route.

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