IATA: Jet fuel supplies could take months to normalise

Global jet fuel supplies are expected to take several months to return to normal following the reopening of the Strait of Hormuz, said Willie Walsh, head of the International Air Transport Association (IATA).

Walsh noted that while refinery disruptions could push crude oil prices lower, high jet fuel prices are likely to persist, Caliber.Az reports, citing the New York Times.

In early April, jet fuel and diesel prices in Northwest Europe exceeded $1,900 and $1,600 per ton, respectively, setting new historical records.

According to Politico, European airports face the risk of fuel shortages as a result of the Strait’s closure.

Airports in the United Kingdom, including Heathrow, are particularly vulnerable, with some flights already cancelled.

France may face similar shortages, where demand significantly exceeds supply despite alternative sources. Portugal is also experiencing comparable challenges.

Earlier, Bloomberg reported that the closure of Iraqi and Iranian airspace, along with attacks on regional airports, led to the cancellation of more than 46,000 flights during the first two weeks of the conflict.

Supply chain disruptions have driven up jet fuel prices, forcing airlines to raise ticket costs.

Analysts also note that the war in Iran has shifted the aviation industry’s dynamics: Western carriers are actively filling the gap created by reduced capacity among Middle Eastern airlines.

By Bakhtiyar Abbasov