economy
Airlines spent 56.4% more on jet fuel in month after Iran war started, U.S. government says
U.S. airlines spent 56.4% more on jet fuel in March than they did in February, U.S. government data released Wednesday shows.
TL;DR
- U.S. airlines spent 56.4% more on jet fuel in March than in February.
- Jet fuel costs increased by 30% compared to March of the previous year.
- Airlines are lowering or scrapping forecasts and scaling back growth plans due to the spike in fuel costs.
- Jet fuel prices exceeded $4 a gallon in some markets in April.
- Spirit Airlines cited the surge in jet fuel costs as a factor in its collapse.
- Airlines expect customers to cover higher fuel costs by late 2026 or early 2027.
- Consumer travel remains strong, with travel agency ticket sales up 12% in March.