PETALING JAYA: Airfreight forwarders in Malaysia are expressing concern that they have been subject to what appears to be arbitrary increases in fuel surcharges (FSCs) lately, even for domestic deliveries. “While international airlines generally apply fuel surcharges based on recognised global fuel price indices, the domestic market appears to apply FSC levels without a clearly defined benchmark or reference mechanism,” it said in a statement. “Fuel surcharges should ideally reflect actual movements in global aviation fuel prices and follow a transparent benchmark. AFAM believes that fuel surcharge adjustments should ideally be linked to recognised fuel price indices or a transparent benchmark, as is the practice of international carriers. “Such mechanisms are typically tied to recognised benchmarks such as the IATA Jet Fuel Price Monitor or the Singapore Jet Fuel Index, ensuring that surcharge adjustments remain transparent and aligned with actual fuel cost movements,” said Mathew.
Source: The Star March 19, 2026 11:54 UTC