Two major Chinese carriers plan to cut flights over fuel costs
Posted: 04 June 2008 0821 hrs

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SHANGHAI: Two major Chinese airlines plan to cut the number of international flights they offer due to spiralling fuel costs, at least temporarily, the carriers said Tuesday.

China Southern Airlines, the country's top carrier in terms of fleet size, said it planned to suspend an unspecified number of flights to cut costs.

"Southern Airlines does have such plans because of the high fuel prices," a Guangzhou-based spokesman told AFP.

"But we are just cutting a number of flights temporarily rather than halting service on these routes," he added, without giving further details.

However, the state news agency Xinhua reported Tuesday that the airline would cut flights from southern China's Guangzhou to Ho Chi Minh, Vietnam and Angkor, Cambodia from June to September.

The company will also offer fewer flights between Guangzhou and Hong Kong, and Singapore during that same period and services between Beijing and Seoul will also be affected, the report said, citing an unnamed employee.

Other routes facing cuts include Los Angeles, Paris, Sydney, Jakarta, Lagos, Dubai, Delhi, Penang in Malaysia and Fukuoka in Japan, the employee was quoted as saying.

Oil prices eased to 127.62 dollars per barrel in Asian trading Tuesday amid continuing concerns over global energy demand since hitting records of 135.14 dollars in London and 135.09 dollars in New York on May 22.

China Eastern Airlines, a major carrier based in Shanghai, said it had similar plans as China Southern.

However, company spokesman Luo Zhuping said smaller-than-expected demand was also a factor in the decision to reduce the number of flights on some routes.

- AFP/ir