Daily 206,000 km Detours and Jet Fuel Prices Double... Aviation Industry Reeling

Aviation Industry on Alert as Middle East War Drags On
Route Reductions and Flight Cancellations Widen
War-Driven Airline Costs Soar... Fare Hikes of Up to 20% Become Reality
Korean Carriers Enter Emergency Mode... T'way Implements Unpaid Leave

As the Middle East war drags on, blocked air routes have placed the global airline industry under unprecedented cost pressure. Airlines worldwide have entered emergency mode, simultaneously pursuing route reductions and fare increases.

According to Eurocontrol, which oversees European air traffic management, airlines have added an average of approximately 206,000 kilometers in detour flights per day since the outbreak of the Middle East war on February 28. As a result, about 1,150 flights per day are affected, and the additional fuel consumption alone now exceeds 602 tons daily.

An airplane parked at Incheon International Airport. Photo by Yonhap News Agency

As massive additional fuel is being consumed due to detours, global airlines have moved to cut routes and raise fares after jet fuel prices doubled in the wake of the war. According to the International Air Transport Association, the price per barrel of jet fuel was $99.4 on February 27, before the war, but surpassed $200 earlier this month, more than doubling.

In response, Delta Air Lines in the United States has reduced its total flight supply by about 3.5% in the second quarter and restructured its network, focusing on low-yield routes. United Airlines has also decided to cut around 5% of its total flights in the short term.

European and Asian airlines are no exception. Scandinavian Airlines (SAS) canceled at least 1,000 flights in April alone, and Vietnam Airlines suspended 23 weekly routes. Qantas in Australia reduced its domestic flights by about 5% and completely eliminated some routes.

The extent of fare increases is also becoming clearer. Air New Zealand raised its domestic fares by about NZ$10 and its long-haul fares by up to NZ$90, while Thai Airways expects ticket prices to rise by 10–15%. United Airlines has warned that airfares could increase by up to 20%, and some carriers are raising both ticket and baggage fees to offset higher fuel costs.

The domestic airline industry is also taking a direct hit from rising jet fuel prices. Major carriers such as Korean Air and Asiana Airlines have entered emergency management mode. Low-cost carriers—including Jin Air, Air Busan, Air Seoul, and Air Premia—have also chosen to reduce the number of flights operated this month in response to high oil prices and a strong U.S. dollar.

T’way Air recently notified all cabin crew that unpaid leave will be implemented for two months from May to June. This is the first time in a year and six months since August 2024, when T’way Air last placed cabin crew on unpaid leave due to excess staff resulting from delayed aircraft deliveries.

Meanwhile, there is a growing likelihood that the international fuel surcharge for May will reach an all-time high. Korean Air and Asiana Airlines are set to announce their international fuel surcharges on April 16, with the one-way surcharge for transpacific routes expected to reach the 500,000 won range.

Fuel surcharges are determined monthly in stages based on the average price of Singapore jet fuel (MOPS). The average price from mid-March to early April, the period used to set May’s international fuel surcharge, was around 465–475 cents per gallon, raising the possibility of applying the highest tier. Under the current distance-based system, if the MOPS average exceeds 470 cents, the highest, 33rd tier is applied—raising the possibility that the 33rd tier will be set for the first time ever.

This content was produced with the assistance of AI translation services.