Closure of Strait of Hormuz Drives Jet Fuel Prices Up, Pressuring Airlines
US media outlet Axios has reported that the closure of the Strait of Hormuz following recent conflicts has caused a sharp rise in jet fuel prices, placing financial pressure on airlines. According to Axios, this situation has significantly increased the operating costs of airlines.
The report states that jet fuel accounts for about 30 percent of total airline expenses, and any fluctuation in its price can quickly affect ticket prices and the financial stability of these companies.
Axios attributes the fuel price increase to the closure of the Strait of Hormuz after attacks by the US and Israel on Iran. The Strait of Hormuz is one of the world’s key energy transit routes, and any disruption there impacts global oil markets.
Meanwhile, the International Air Transport Association announced that jet fuel prices rose by 58 percent during the first week of the war. Subsequently, prices for intercontinental flight tickets more than doubled.
The media outlet believes that continued increases in fuel costs could threaten the survival of weaker airlines and place global aviation under significant pressure.
