Lufthansa's GDS surcharge won’t take effect in China right away

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The Lufthansa Group won't add a surcharge on GDS bookings made in China, New Zealand, Iran, Libya and Yemen when the 16 euro fee goes into effect in most countries around the world on Sept. 1, a company spokeswoman said.

This comes on the heels of an explanation Tuesday that bookings made in Brazil would also not immediately be subject to the distribution cost charge due to concerns about whether the charge is legal in Brazil under the “YR” fee code Lufthansa plans to use for billing in the GDSs.

Once it resolves technical complications, Lufthansa Group (Lufthansa, Austrian Airlines, Brussels Airlines and Swiss International Air Lines) plans to begin coding the distribution charge as an “OB” ticketing fee in the GDSs.

The fee, which amounts to slightly less than $18 at the current dollar-to-euro exchange rate, has raised objections from travel agencies in the United States and Europe due to concerns that it will reduce their operational efficiency.

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