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US carriers spent $6.5B on fuel in April; global profit forecast is cut nearly in half
Airlines are raising fares and cutting flights as fuel is forecast to reach 31% of operating expenses next year, IATA said.
- U.S. airlines spent more than $6 billion on jet fuel in April, up 78% from a year earlier despite using slightly less fuel, according to government data released Monday.
- Since strikes earlier this year, conflict in the Middle East has effectively halted shipping through the Strait of Hormuz, a critical oil transit route bordering Iran, pushing up jet fuel prices.
- The International Air Transport Association reported on Sunday that airlines will earn $23 billion in net profit in 2026, far below its previous forecast of $41 billion and down from $45 billion in 2025.
- Carriers ranging from Lufthansa Group and Air Canada to United and Delta have cut 20,000 short-haul flights and suspended routes, with American Airlines trimming summer service last week.
- "Airlines are bearing the brunt of the fuel price shock," said Willie Walsh, director general of IATA, as fuel costs are forecast to account for more than 31% of operating expenses in 2026, up from about 25% last year.
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U.S. carriers spent $6.5B on fuel in April; global profit forecast is cut nearly in half
U.S. airlines spent more than $6 billion on jet fuel in April, up 78% from a year earlier despite using slightly less fuel, government data released Monday showed. Meanwhile, the airline industry's top global trade group warned that soaring energy costs could nearly halve profits in 2026.
·United States
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Coverage Details
Total News Sources20
Leaning Left5Leaning Right5Center9Last UpdatedBias Distribution48% Center
Bias Distribution
- 48% of the sources are Center
48% Center
L 26%
C 48%
R 26%
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