The recent surge in jet fuel prices has caught the aviation industry off guard. With the ongoing US-Israeli war on Iran, fuel prices have skyrocketed from US$85-$90 per barrel to US$150-$200 per barrel. This sudden increase has caused airlines to raise fares and adjust their financial forecasts as fuel accounts for up to a quarter of their operating expenses.

Here is a list of how different airlines are responding to the rise in fuel prices, in alphabetical order:

Aegean Airlines:

The Greek airline has reported that the suspension of Middle East flights and the spike in fuel prices will have a noticeable impact on its first-quarter results.

AirAsia X:

The Malaysian airline has reduced its flights by 10% across the group and increased the fuel surcharge by approximately 20%.

Air Canada:

Canada’s largest carrier has suspended its full-year guidance due to the volatility in jet fuel prices. It has also announced plans to reduce four of its 38 daily flights to New York in response to the higher fuel costs.

Air China, China Southern Airlines, China Eastern Airlines:

China’s “big three” airlines have increased the surcharges on domestic flights to 60 yuan (S$11. 20) for flights under 800 km and 120 yuan for flights over 800 km. This is a significant increase from the previous surcharge of 10 yuan and 20 yuan, respectively.

Air France-KLM:

The airline group has downgraded its capacity outlook to a 2-4% increase from the previous estimate of 3-5%. It has also announced plans to increase long-haul ticket prices by 50 euros (S$75. 30) per round trip.

Air India:

The Indian carrier has stated that it will revise its fuel surcharges, implementing a distance-based grid instead of a flat domestic surcharge. The current surcharges on international routes do not adequately compensate for the significant increase in fuel prices.

Air New Zealand:

The airline has already slashed flights for May and June, and has increased fares in response to the conflict in the Middle East. It has also suspended its full-year earnings forecast due to the volatility in fuel prices.

Air Transat:

The Canadian airline has announced a 6% reduction in planned capacity from May to October. This will result in cuts on routes to Europe and the Caribbean, with the suspension of its service to Cuba until October.

Akasa Air:

India’s Akasa Air has introduced a fuel surcharge on domestic and international flights ranging from 199 to 1,300 Indian rupees (S$2. 60 to S$18).

Alaska Air:

The carrier has withdrawn its full-year profit forecast and warned of a significant impact on second-quarter earnings due to the sharp increase in fuel prices. It has also reduced capacity in some markets.

American Airlines:

The US carrier has lowered its 2026 profit forecast, resulting in a potential loss.