IATA warns that airline tickets could become 9% more expensive

Airline tickets could rise by up to 9% due to rising oil prices resulting from the war in the Middle East. This was stated by Willie Walsh, CEO of the International Air Transport Association (IATA).

Military tensions in the Middle East have driven fuel prices to skyrocket, with kerosene more than 70% higher in just one month. To cover this additional cost, airlines are raising their prices.

About a quarter of airline expenses goes to fuel

“It is inevitable that if oil prices remain high, ticket prices will rise,” Walsh said at a conference in Peru. “You are probably looking at an increase of 8 to 9%” in ticket prices.”

Fuel costs account for about a quarter of airline expenses. According to IATA forecasts from late 2024, fuel originally accounted for about 26.4% of total operating costs for 2025, but the current crisis has overtaken those estimates.

“The problem for airlines is always volatility, the speed at which the oil prices change,” Walsh said. “When there is a very rapid increase, it is difficult for airlines to offset those additional costs immediately.”

€50 per ticket (round-trip) in economy

In addition to fuel costs, airlines are facing closed airspace in the Middle East. As a result, flights between Asia, Europe, and the Gulf region must take longer routes, leading to higher fuel consumption and even higher costs.

Several airlines have already announced that they will pass on the higher fuel prices to customers. At Air France and KLM, for example, this amounts to €50 per ticket (round-trip) in economy class on long-haul flights.

The Scandinavian airline SAS, the Australian airline Qantas Airways, and several Indian and Asian airlines will also pass on the higher kerosene costs to ticket prices. Brussels Airlines said Wednesday that no fuel surcharges are planned for the time being.

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