Many airlines worldwide are passing on costs through higher base fares or new fuel surcharges while monitoring the situation closely, as jet fuel prices have more than doubled in recent weeks in some markets.
- United Airlines is to trim capacity by around 5pc in the second and third quarters of 2026 because of surging jet fuel prices linked to the Middle East conflict. The airline cancels unprofitable off-peak flights such as red-eye and midweek services, reduces capacity at Chicago O’Hare, and suspends routes to Tel Aviv and Dubai. United plans to restore the full schedule in the autumn while preparing for oil prices that could stay elevated at around €161 per barrel for the rest of 2026 and above €92 until the end of 2027.
- Cathay Pacific has raised fuel surcharges on all routes from 18 March 2026 after jet fuel prices double since the start of the month. Hong Kong Airlines increases its fuel surcharges by up to 35.2pc from 12 March 2026, with the largest rises on routes to the Maldives, Bangladesh and Nepal.
- IndiGo has introduced new fuel charges on domestic and international flights from 14 March 2026, including 900 Indian rupees for flights to the Middle East and 2 300 Indian rupees for flights to Europe. Akasa Air adds a fuel surcharge that ranges from 199 to 1 300 Indian rupees on domestic and international services.
- Air France-KLM is raising long-haul ticket prices with round-trip economy fares set to increase by about €50 to offset the higher fuel costs.
- Air India has introduced and then increased fuel surcharges on tickets to Europe, North America and Australia by up to 50 US dollars after 18 March 2026.
- Pakistan International Airlines has raised domestic fares by 20 US dollars and international fares by up to 100 US dollars because of higher fuel costs.
- Qantas has hiked fares on international routes and considers adding capacity on some Europe services while managing the impact of longer routings.
- American Airlines and Delta Air Lines are absorbing around 400m US dollars (around €368m) each in extra fuel costs for the first quarter but raise revenue guidance thanks to strong demand and fare increases rather than trimming capacity so far. Both carriers note flexibility to cut capacity if elevated fuel prices continue for a prolonged period.
