A global jet fuel shortage is expected to raise the cost of air travel and reduce flight schedules as airlines seek to offset rising prices. JetBlue announced it was raising baggage fees due to rising operating costs. The rising prices are part of the economic fallout from the Iran war, which has resulted in the loss of critical energy exports from the region due to the closure of the Strait of Hormuz and damage to key energy infrastructure sites. On Monday, U.S. gasoline prices hit $4 a gallon for the first time since 2022, and most US. carriers no longer hedge fuel costs, forcing them to pass on some costs to passengers. Airlines are also planning to reduce capacity to accommodate the rising costs.