China’s Big Three Airlines Sink Deeper Into Losses as Fuel Costs Surge

China’s three largest state-owned airlines reported widening first-half net losses totaling 8.16 billion yuan ($1.2 billion) as surging jet fuel prices wiped out revenue gains from increased passenger traffic.

Air China Ltd., China Eastern Airlines Corp. and China Southern Airlines Co. all posted revenue growth of about 10% for the first six months of 2026, yet their financial deficits deepened. China Southern, the country’s largest carrier by fleet size, recorded the steepest net loss at 3.7 billion yuan.