European airlines are warning of higher ticket prices as jet fuel costs remain elevated following disruptions from the Iran war. The conflict has driven up fuel prices by nearly 84% since late February, adding an average of 88 euros ($104) per passenger to long-haul flights and 29 euros for intra-European routes. For example, a Paris to New York flight now costs 129 euros more per passenger than before the war began, while Barcelona to Berlin fares have risen by 26 euros.
Major carriers like Lufthansa have slashed 20,000 flights through the fall, targeting unprofitable short-haul routes to conserve fuel. Other airlines, including KLM and Scandinavian Airlines, have announced schedule cuts amid fears of shortages if the Strait of Hormuz stays closed. Industry leaders note that while hedges have cushioned some impacts, they are running out, prompting airlines to pass costs to consumers through increased fares and fees.
Airlines for Europe, representing Lufthansa, Air France-KLM, and easyJet, has urged the EU to monitor jet fuel supplies, suspend aviation carbon taxes temporarily, and consider joint kerosene purchases. The group also seeks adjustments to oil reserve rules to prioritize jet fuel. Sweden’s energy minister issued an early warning on potential shortages, advising travelers to reconsider plans. Despite robust global demand, bookings via Gulf hubs have dropped sharply, with European aviation facing its toughest challenge since the COVID-19 pandemic.