As a result of the war in Iran, airlines across the globe have been forced to manage rising jet fuel prices by increasing fares and cutting flights. The cost of fuel typically accounts for about 20–40 percent of an airline’s total operating cost, but with the benchmark jet fuel price hitting all-time highs, travelers should expect to pay more for airline tickets, while also seeing a more limited number of flights.
The Gulf is a major source of aviation fuel. According to BBC, the region accounts for about 50 percent of Europe’s imports. But airlines globally feel the impacts and, therefore, so do passengers. Since the conflict began Feb. 28, the cost of crude oil has increased by more than 50 percent, and global jet fuel prices have more than doubled.
Air New Zealand announced it would cut 4 percent of its flights in May and June, about 1,100 flights in total, due to surging jet fuel costs. These cuts will impact about 44,000 customers, mainly on domestic routes and in Wellington, Auckland and Christchurch.
Air India released a statement it will change its fuel surcharge on domestic flights from a flat fee to one determined by flight distance. The airline also increased fuel surcharges on international flights.
United Airlines and SAS cut back on flights and increased ticket prices, while Air France-KLM announced it will lift fares for long-haul journeys. So far, British Airways managed to delay either measure, for the airline currently purchases fuel at a price fixed before the war started.
Even budget airlines like Ryanair feel the effects, with a high probability of rising ticket fares and flight cancellations in May if the conflict continues.
Delta Air Lines followed JetBlue’s recent decision to increase baggage fees. Now, most Delta customers will pay $45 instead of $35 for their first bag, marking about a 28 percent increase. The increase closely trails United Airlines’ decision to increase checked baggage fees by $10, from $40 to $50, for flights within the United States, Mexico, Canada and Latin America. That said, United passengers will continue to receive a $5 discount ($45) if they prepay for luggage at least 24 hours before departure. For reference, United Airlines and many other airlines last increased baggage fees in 2024.
American Airlines has not yet announced any baggage fee increases. The airline last adjusted its baggage fees in February, increasing the second checked bag to $50 from $45 if passengers did not pre-pay before arriving at the airport.
Korean Air revealed it is moving into emergency management mode to handle the impact of surging jet fuel costs. The airline said it will add cost-reduction strategies to handle its finances.
Canadian airlines also add fuel surcharges and adjust operations. Beginning today, WestJet introduces a temporary CAD$60 fuel surcharge on all bookings made with a WestJet Rewards companion voucher, and a CAD$50 per person fuel surcharge will apply to all new bookings made from April 14. Air Canada Vacations also adds a CAD$50 fuel surcharge to select vacation packages, especially its Sun Destination packages. Porter Airlines has implemented a temporary fuel surcharge per flight on all VIPorter flight redemptions.
Have you noticed a change in pricing/baggage fees on recent flights? Have you noticed a change in flight availability? Email us at letters@globaltravelerusa.com. Please include your full name and location.
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