Airlines Hike Fares as Jet Fuel Prices Surge

Rising fuel costs driven by Middle East conflict could make summer flights more expensive

Mar. 14, 2026 at 9:23pm

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Jet fuel prices have spiked in recent weeks due to supply disruptions caused by the ongoing war in the Middle East, putting pressure on airlines as the busy summer travel season approaches. Some airlines outside the U.S. have already announced fare increases or new fuel surcharges to offset the growing expense, and experts say similar moves are likely from U.S. carriers if high fuel prices persist.

Why it matters

Jet fuel is a major operating cost for airlines, typically accounting for 20-25% of their overall expenses. A sharp rise in fuel prices can therefore have a significant impact on airline budgets, forcing them to pass those costs on to consumers through higher fares and fees. This could make summer travel more expensive for passengers.

The details

The war in the Middle East has constrained oil exports and prompted major producers like Kuwait, Saudi Arabia, and Iraq to scale back output, as shipments face growing obstacles. Iran has also attacked commercial ships and oil infrastructure in the region, effectively halting traffic through the Strait of Hormuz, a key global oil chokepoint. These disruptions have caused volatile crude oil prices, which have in turn driven up the price of jet fuel. The average U.S. jet fuel price reached $3.99 per gallon on March 14, up from $2.50 before the war started two weeks ago.

  • The war in the Middle East began two weeks ago.
  • The average U.S. jet fuel price reached $3.99 per gallon on March 14, 2026.

The players

Cathay Pacific

Hong Kong's flag carrier airline, which announced it would increase its fuel surcharge starting on March 15, 2026.

Air France-KLM

The airline group said roundtrip economy fares on long-haul flights could rise by about 50 euros (around $57) due to higher fuel costs.

Air India

The Indian national airline introduced fuel surcharges on March 16, 2026 and said the surcharge will increase by up to $50 for all tickets to Europe, North America, and Australia after March 18.

Scott Kirby

The CEO of United Airlines, who recently warned that airfare increases will 'probably start quick' as increasing fuel costs work their way through the industry.

Christopher Anderson

A professor at Cornell University's business school whose research includes operations and information management in the hospitality and airline industries.

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What’s next

Experts say travelers planning summer trips may be able to limit the impact of rising airfares by booking earlier rather than waiting for last-minute deals. Locking in ticket prices sooner can help secure lower prices before airlines adjust rates further.

The takeaway

The surge in jet fuel prices driven by the Middle East conflict is putting significant cost pressure on airlines, which will likely result in higher airfares and fees for passengers this summer. Travelers may need to be more flexible and proactive in booking flights to avoid the brunt of these price hikes.