Minh Thanh Phat, which operates Sao Viet buses in the north, said it informed authorities of a 20% increase starting this week.

“Customers may complain, but transport companies are posting increasing losses. We are trying to survive and not make a profit.”

Seventy percent of its vehicles are not running due to low demand amid a rise in Covid-19 cases, and many of those that are operating are only a third full.

With around 200,000 Covid cases recorded every day this month, mostly in northern Vietnam, people are refraining from travelling.

With gasoline prices at record highs, the longer they operate, the greater their losses, transportation companies said.

HCMC Vinasun’s taxi company is set to finalize plans to increase fares this month, and it is waiting to see if the environmental fuel tax is reduced.

Nguyen Cong Hung, vice president of the Vietnam Motor Transport Association, said taxi companies should increase their fares by 10 to 15 percent.

“Without a raise, they won’t be able to pay salaries. Their incomes have plummeted and they’re only operating at 60% capacity.”

Sixteen transport companies in Hanoi have asked the authorities for permission to increase fares by 5 to 15%.

Grab, the nation’s largest ride-sharing company, raised fares for all of its services by 6-7% on March 10.

Freight transport companies also increased their prices.

Long Van Toan, transport manager at a Hanoi-based logistics company, said fuel prices had risen 50% since the end of last year, forcing his company to raise prices by 15%. .

The Hanoi Transport Association said transporters are now posting losses and drivers are seeing their income plummet.

“Transportation companies expect more support from the government, such as lower taxes and interest rates on loans.”

Petrol prices jumped to 29,820 VND ($1.30) on March 11, after rising 28% since late December.