Rising Fuel Costs Forcing Airlines to Cut Less Profitable, Cheaper Flights
Executives said higher jet fuel prices could force carriers to trim capacity and raise fares, with domestic ticket increases already reaching 124% at one airport.
- On Wednesday, executives from United Airlines, American Airlines, and Southwest Airlines announced plans to cut less profitable, lower-priced flights this holiday season amid soaring fuel costs.
- Surging oil prices surpassed $100 a barrel this month, driving jet fuel to $4.53 a gallon as of Thursday; Energy Secretary Chris Wright defended administration refining policies against criticism over capacity closures.
- Data from the Bureau of Labor Statistics shows airfares rose more than 23% in August, while Spirit Airlines' shutdown in May further eliminated discount flight options for cost-conscious travelers.
- Travel experts recommend booking domestic flights one to three months in advance to secure better prices, while travelers are urged to regularly check flight status as the year ends.
- United CFO Mike Leskinen said if fuel costs remain elevated, the company will make adjustments into the first quarter and beyond into 2027; airline CFOs noted price increases are passed through with a lag.
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Major airlines adjust flight schedules as jet fuel prices surge
Planes of United Airlines, Southwest Airlines and American Airlines are seen at LaGuardia Airport in New York, the United States, on April 23, 2026. (Photo by Zhang Fengguo/Xinhua via Getty Images) Executives from American Airlines, United Airlines and Southwest Airlines said Wednesday that rising jet fuel prices are prompting carriers to adjust capacity and closely monitor their schedules.The global average price of jet fuel climbed 6.1% week o…
Rising fuel costs forcing airlines to cut less profitable, cheaper flights
Executives from a number of airlines made the announcement at an investors conference this week.
Airline execs hint at higher fares, reduced schedules as fuel costs surge
Airline tickets could get more expensive if fuel prices stay elevated, executives at American Airlines and Southwest Airlines suggested. The carriers may also reduce capacity as they aim to protect their margins. Plus, both companies are investing in premium flying. As Robert Isom said: "The race to the top is much better." Learn how North Texas' major carriers are approaching the current moment in this story.
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