Most travelers flying with United Airlines will pay $10 more to check their luggage beginning on Friday, as higher jet fuel costs driven by the war in the Middle East push another major U.S. carrier to increase fees.
The first piece of checked luggage will now cost customers $45 on flights within the United States, Mexico, Canada and Latin America, according to United. A second bag will cost $55.
“This is the first time in two years the airline has
raised bag fees,” United said in a statement.
Speaking to investors last month, United CEO Scott Kirby said the rising costs for jet fuel since the conflict began on Feb. 28 had already added roughly $400 million to operating costs. The CEOs for Delta Air Lines and American Airlines reported similar figures.
Some United passengers will still receive a free first checked bag, including co-branded credit card holders, certain loyalty-tier members, active military personnel and travelers in premium cabins. Customers who check bags less than 24 hours before departure will pay an additional $5.
United joins JetBlue, which raised its checked baggage fees earlier this week by $9 for peak travel periods. JetBlue said that charging more for optional services used by select customers helps keep base fares competitive. Like United, it will continue offering a free first checked bag to some customers.
The war, now in its second month, has severely disrupted global oil supplies, particularly near the narrow Strait of Hormuz where a fifth of the world's oil typically passes. That has caused crude prices to fluctuate wildly, which affects airlines' operating costs because the fuel their aircraft rely on is refined from crude oil.
Fuel is typically the second biggest expense for airlines after labor.
The average price for a gallon of jet fuel in Chicago, Houston, Los Angeles and New York reached $4.88 on Thursday, up from $2.50 just before the war, according to Argus Media. The energy market intelligence company’s U.S. Jet Fuel Index tracks the average prices across those major hubs.
Airlines are under increasing pressure to find new sources of revenue as fuel costs climb. A number of non-U.S. carriers have already responded by adding fuel surcharges or raising ticket prices. Industry experts say U.S. airlines will boost fares as well, but since they don’t typically rely on fuel surcharges, they’re also expected to pass on higher fuel costs to travelers by raising — or introducing — add-on fees.
United announced another pricing change on Friday that brings the “pay for what you want” approach already standard in economy to its premium cabins. On long-haul international routes, transcontinental U.S. flights and certain Hawaii services, seats in the front cabin will now be divided into three fare types.
At the bottom, a new base fare will carry the lowest upfront price but removes some of the extras that travelers often expect with premium tickets — including advance seat selection and refunds. In practice, that could mean a cheaper entry point to the front cabin but fewer perks.
The middle option, labeled standard, adds back common perks such as seat selection, extra checked bags and the ability to make itinerary changes. At the top end, the flexible tier includes all of those features and is fully refundable, offering the most flexibility for travelers willing to pay more.
United said it plans to introduce the new fare structure in select markets this month and expand it across more routes later this year.
