Air New Zealand is hiking international fares by up to 5% due to high operating costs driven by surging fuel prices.
In a note to travel partners, Air NZ said fares on flights to the US, Canada, Argentina and Asia would go up by an average of 3%.
It is also bringing in a special weekend surcharge of between $30-$60 for flights on Friday, Saturday or Sunday.
That could see some long-haul fares hiked by up more than $100.
Trans-Tasman routes will rise by $10 for economy one-way saver fares.
The International Air Transport Association said the industry’s combined fuel costs will see a steep rise to about US$188 billion this year, well up on last year’s US$156 billion.
Rising airport charges and higher labour costs are also taking a bite out of airlines’ profits.
Air New Zealand has more to lose than most airlines as it has a higher proportion of long haul routes with fuel costs making up more than a third of all operating expenses.
