China's civil aviation authorities have allowed domestic airlines to raise economy fares for domestic routes starting Monday to offset the impact of jet fuel price hikes.

First-class and business fares should be set at 150 percent and130 percent, respectively, of economy class prices, reported Saturday's China Daily, quoting a notice released by the General Administration of Civil Aviation of China, the watchdog of the industry in China.

Children and baby's fares will be set at 50 percent and 10 percent of the adjusted price, the notice says.

Airlines on the Chinese mainland are now allowed to raise fuel surcharge by no more than 14 percent on the base fares set on October 31, 2000.

The increase in the fuel surcharge is needed to compensate for the extra operational costs airlines are facing in the wake of rising international oil prices. The money gained from the fuel surcharge will be distributed to domestic airlines.

The rise in fuel surcharges will also affect international travel, since fares will be raised on some overseas routes, according to an official with the China International Tourist Service.
 
(Xinhua News Agency   December 15, 2003)