US airlines embrace demand boost as Iran war sends fuel costs soaring
Published on March 22, 2026.
U.S. airlines are projecting confidence about fares and demand, despite the disruption of the U.S.-Israeli war on Iran, which has resulted in nearly doubling jet fuel prices since late February. Major US carriers, which do not hedge against oil price rises, have attributed this confidence to a strong revenue environment. United Airlines CEO Scott Kirby stated that the company has a goal this year to offset the increase in fuel prices and recover "100%" of the cost. Meanwhile, Delta Air Lines has said it has the flexibility to cut capacity if fuel prices stay elevated. Despite this, European and Asian airlines have expressed cautious outlooks due to the conflict.
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