Soaring jet fuel prices due to Middle East conflict are pushing budget airlines towards bankruptcy and industry consolidation, according to the head of the global airline body. Slow aircraft and engine deliveries are exacerbating these financial strains. Despite challenges, the low-cost model remains viable outside the U.S., and the industry is committed to its net-zero by 2050 target.

Soaring jet fuel prices due to Middle East conflict are pushing budget airlines towards bankruptcy and industry consolidation, according to the head of the global airline body. …

Rising jet fuel costs could trigger more airline bankruptcies and mergers, especially among struggling budget carriers.

Soaring jet fuel prices from Middle East tensions are straining airlines, increasing bankruptcy risks and likely accelerating industry mergers, according to IATA's latest warning.

The global airline industry has significantly lowered its 2026 profit forecast due to rising fuel costs and disruptions from the Iran war. Airlines are now expected to earn $23…

IATA reduces 2026 airline profit forecast to $23 billion due to rising fuel costs and geopolitical instability.

The global airline industry is set for a sharp downturn in profitability in 2026, with earnings almost halved compared to earlier forecasts, as the ongoing Middle East conflict…

International Air Transport Association warns on jet fuel prices and route disruption

International Air Transport Association, IATA, has forecast that airline profitability will halve in 2026 compared to 2025, fingering war-related disruptions in the Middle East…

Global airline profits are projected to halve in 2026, with the Middle East crisis and rising fuel costs significantly impacting the industry, IATA reports

Iata summit in Brazil hears top executives say although jet fuel shortages are unlikely industry-wide profits will halve

That also means high ticket prices will likely continue.

Middle East airlines are set for a $4.3 billion loss in 2026 as war disruptions, airspace closures and soaring jet fuel prices hit Gulf carriers, says IATA.

Global airline industry profits are expected to halve in 2026 as the conflict in the Middle East and a sharp rise in jet fuel prices weigh heavily on carriers worldwide