Dear Valued Customers,

Regarding the liberalization of Cargo Fuel Surcharge (CFS), we are writing to inform you about our CFS mechanism, which will effective from the shipments which MAWB will be issued in Hong Kong on 1st of January 2025, Hong Kong time.

Below are the key elements of our CFS mechanism for your reference:

• CFS source of reference:
  Nikkei Singapore Kerosene (hereafter “NSK”) where customers can subscribe and access the information on Nikkei (Nippon Keizai Shimbun)
   
• Reference Point:
  Previous Month’s Average of the announcement date
   
• Frequency of Change:
  1st of each month until the end of the month
   
• Timing of announcement:
  By middle of each month for applicable CFS of next month
   
• CFS Table:
  Please see attachment　* subject to change with 60 days prior notice
   

For example, the CFS for January 2025 will be announced in mid-December 2024. The oil price used to determine the CFS will be based on the monthly average Nikkei Singapore Kerosene for the month of November 2024.