Airfares to drop in June with record low fuel surcharge

Airfares are expected to decrease in June as the Civil Aeronautics Board (CAB) lowers the fuel surcharge to a record low of Level 3.

Under Level 3, domestic flights will have reduced additional charges ranging from P83 to P300, and international flights from P273.36 to P2,032.54.

These new rates are considerably lower than the previous Level 4 rates, which ranged from P117 to P342 for domestic flights and P385.70 to P2,867.82 for international flights.

Airlines must file an application with the CAB to impose or collect fuel surcharges for June.

Cebu Pacific President and Chief Commercial Officer Xander Lao welcomed the development, stating the reduced surcharge supports travel demand.

AirAsia also welcomed the development, calling it great news for their guests and the lowest surcharge released by the CAB for 2025 so far.

Globally, jet fuel prices have decreased by two percent to $83.76 per barrel as of May 16.

The CAB also set an exchange rate of P56.42 to $1 for airlines transacting in foreign currencies.