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Sources: Drone attack damages Novatek's Ust-Luga processing complex for gas condensate, according to sources
Three industry sources have confirmed that a drone attack on August 14 'damaged' the complex for processing gas condensate at the Baltic port of Ust-Luga, owned by Russian gas producer Novatek. Novatek didn't respond to an immediate?request for comments. Two sources confirmed that the drone attack had no impact on oil export operations at the terminal in?Ust-Luga. Ust-Luga, one of Russia's most important?oil-export terminals, loads about 700,000 barrels?of crude per day. Alexander Drozdenko, the Leningrad Region Governor, said earlier on Friday that a drone had caused a fire in the Ust-Luga Port. Drone attacks have repeatedly targeted Ust-Luga’s port infrastructure and terminals. Three processing units at Novatek’s Ust-Luga Complex each have a?capacity? of 3 million metric tonnes a year. They refine stable gas condensate into light and heavy naphthas, jet fuels, ship fuel oils and gasoils. According to company data, the complex processed 3.8 million tonnes of gas condensate in the first half this year.
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Smart trucks and tugs that never sleep. Automation rewires US transport: Maguire
U.S. Transportation has become increasingly efficient with advances in engine technologies, infrastructure upgrades and more sophisticated logistic networks. The next wave will be different. The automation of transportation networks is transforming them into continually optimizing systems. These systems consume less energy for each unit moved, work longer, and reduce labor bottlenecks. They also reshape the demand for fuels, electricity, and other resources. Software increasingly dictates the way energy is consumed in the United States and how goods are transported. In Texas, driverless trucks haul commercial loads while AI is deployed on Mississippi River tugboats. Rails are increasingly relying on automated inspection and machine vision systems. Aviation regulators prepare for a world where cargo flights will operate with less human intervention. Viewed separately, ?these developments may appear incremental. They point to an increasingly autonomous, constantly?optimized, and more productive freight economy. According to the Energy Information Administration (EIA), transportation is the biggest source of energy in the U.S. It accounts for 37% of the total energy consumption. Around 70% of the total U.S. petroleum product demand is accounted for by transportation. A major overhaul in the transportation sector will have a far-reaching impact on the U.S. as well as global energy markets for the next decade. THE MISSISSIPPI GOES DIGITAL The Mississippi River, the oldest freight artery of North America, is one of the latest adopters. America's inland waters move hundreds of millions tons of commodities each year, including fertilizer and grain, as well as biofuel feedstocks. Waterborne transportation accounts for just 4% of U.S. fuel consumption. In the past, river navigation was a human-experienced activity. To navigate the changing river conditions, captains relied on their local knowledge, visual observations and accumulated judgement. This is changing. The situation is changing. The technology can monitor hazards, track vessels, calculate stopping distances and analyze river conditions. It also identifies strategies to save fuel. It goes beyond navigation. The river transportation has an energy efficiency advantage over trucking. Towboats use buoyancy to do the majority of the work, while the water flow does the rest. According to the U.S. Army Corps of Engineers, one?gallon of diesel fuel can move a cargo of one ton more than 500 miles by barge. This compares to 60 miles for a truck. Automating barge traffic will increase this advantage by reducing fuel consumption, improving planning and minimizing delays. It is important because many of the commodities that travel on these waterways have energy content, from fuels, crude oil, and coal to biofuels. Transport costs that are lower can have a ripple effect on commodity markets and ultimately result in lower prices for energy-intensive goods. TRUCKS THAT NEVER SLEEEP American highways are likely to see the most noticeable automation revolution. The trucking industry, which accounts for more than 60% of the total fuel used in U.S. transport, is on the verge of a major overhaul. Trucking has improved over the years due to better aerodynamics and logistics software, as well as new engines. One constraint, however, remained the same: trucks would stop when drivers stopped. This limitation is removed by autonomous trucking. Aurora Innovation, along with other self-driving tech developers, have shown that driverless freight operations are commercially viable in Texas. They are working on a model where trucks will be used almost continuously. Theoretically, autonomous trucks could operate around the clock and not just during federally mandated driving times. This is a very different type of productivity improvement from previous transport advancements. The Industrial Revolution largely improved transportation by enhancing the power of machines. Automation increases asset utilization. The productivity of a truck that can move freight 20 hours a day, instead of 10, is doubled. This reduces the need for idle equipment across the network. Energy implications are complex. Automated systems can optimize speed, brake and acceleration to reduce fuel consumption per mile. Improved routing and platooning - where trucks move in close convoys for reduced drag - could reduce diesel consumption. A reduction in freight costs may stimulate demand. The history shows that efficiency improvements have often led to an increase in overall activity. If driverless systems dramatically lower shipping costs, freight volume could increase enough to offset fuel saving. Over time, however, autonomous fleets may also be able to accelerate the electric trucking industry through centralized fleet management and optimized charging schedules. It would not only reduce costs, but also shift the energy demand away from diesel. RAIL'S QUIET REVOLUTION The railroads are one of the most mature examples of automation, but they're also the least talked about. Rail automation, unlike the autonomous truck story, is happening behind the scenes, through sensors, digital maps and predictive analytics. Freight railroads deploy automated track inspection systems more and more while trains are still in motion. Lasers, cameras, and machine-learning system continuously monitor track condition, wheel integrity, and equipment performance. This is a major shift in the way we monitor our systems. In the past, maintenance of rails was based on visual inspections. Defects are usually discovered after they become significant problems. Automated systems are increasingly able to identify problems before they pose a risk. Wabtec is a major rail technology company and locomotive manufacturer. They have developed Pathfinder, an easy-to-use device. Pathfinder equips standard locomotives using hardware and sensors with digital capabilities, cameras and autonomous?operation. Pathfinder, and other digital upgrade systems, could enable smaller railroad operators to upgrade their train lines using advanced autonomous technologies such as Positive Train Control and trip Optimizer. Benefits go beyond safety. A more reliable infrastructure allows trains to move faster, reduces bottlenecks, and increases asset utilization. Rail is the most efficient land transportation mode, accounting for only 2% of all transportation fuel used in the U.S. Any shift from trucks to rails could reduce energy intensity across the economy. This may be one of the most underrated energy contributions of automation: it allows for greater use of modes of transport that consume less fuel per tonne-mile. AVIATION'S NEXT FUTURE Aviation is the least automated sector of transport, but this may change soon. The Federal Aviation Administration has started developing regulatory frameworks to support increasingly automated operations. Reliable Robotics, for example, is developing FAA-certified autonomous cargo aircraft that can operate from gate to door under remote supervision. The U.S. Air Force also invests in pilotless cargo planes that can be integrated into civil airspace. Aviation automation is about increasing operational flexibility. Remote or autonomous cargo planes could connect smaller towns, improve logistics resilience, and create new freight network that is currently uneconomical. Initial energy savings could be modest. Aviation fuel consumption in the United States is only 9%, but aircraft are heavily optimized. Automation could open up new transport models, especially in regional cargo, advanced air mobility, and electric-powered flight. Aviation automation could be compared to the early days on the Internet: the biggest impact may not come from making current activities cheaper, but by creating new options that were previously unavailable. What this means for energy markets The narrative that is most commonly heard about transport automation is that machines will replace people. This is a narrow view. Software is replacing inefficiency. Backhauls that are empty. Backhauls that are empty. River delays. Fuel waste. Preventable rail slowdowns. Unutilized aircraft. This inefficiency represents hidden energy consumption throughout the economy. Automating these losses is a direct way to reduce them. Maintenance can be more proactive than reactive, and as transportation systems become smarter, they can smoothen freight movements, increase asset life, and improve logistics networks. This could lead to an economy that is able to move significantly more goods, without having to increase?energy consumption proportionally. NON-STOP LOGISTICS? Fuel transitions is often referred to as energy transitions. History shows that productivity shifts are often the most important economic transformative factors. Steam power was important because it multiplied human effort. Electricity increased productivity in factories and homes. Computing has reduced the cost to obtain information. Transportation automation is part of that lineage. AI-assisted boats on the Mississippi and autonomous trucks in Texas are part of the U.S.'s freight system, which is designed to save time, reduce fuel consumption, and maximize output. It may not matter whether trucks run on batteries, diesel or hydrogen. The question is whether trucks ever have to stop. The opinions expressed are those of the columnist, author. This column is a great read! Open Interest (ROI) is your new essential source of global financial commentary. Follow ROI on LinkedIn, X and X. Listen to the Morning Bid podcast daily on Apple, Spotify or the app. Subscribe to the Morning Bid podcast and hear journalists discussing the latest news in finance and markets seven days a weeks.
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Drone incursions cause chaos and fear along NATO's Baltic border with Finland
The presence of military drones in the airspaces of Finland, Estonia Latvia and Lithuania is raising concerns that the conflict in Ukraine could spill over into NATO's northern border with Russia. Some of Ukraine's drones missed their targets, causing security warnings to be issued in neighboring countries. In Latvia, it led to the collapse of the government. The following is a timeline of recent drone incidents that involved Finland and the three Baltic states: March 25 - Two Ukrainian military drones that escaped from Russia enter Estonia and Latvia. One drone crashes into a chimney near the Russian border at Estonia's Auvere Power Station, while another crashes in Latvia. Lithuania reported earlier that a Ukrainian drone crashed into a lake. From March 29-30, Finland reports that unmanned aerial vehicle (UAV) have violated its territorial boundaries in the southeast of the country and deploys F/A-18 jet fighters. One object identified as a Ukrainian AN-196 manned drone. According to Petteri Orpo, the Finnish Prime Minister, strong Russian electronic jamming may explain why drones are drifting in Finnish airspace. The 31st of March - Estonia, Latvia and Finland detect foreign drone activity in their border areas with Russia. A drone is also found by the Finnish border guard. Estonia discovers drone debris in Tartu County. Estonian armed forces claim that drones found in the country are believed to be from Ukraine, and were intended for Russia. May 7 - Latvian and Lithuania ask NATO to increase air defences following two suspected stray drones that crossed from Russia and crashed in Latvia. One of the drones explodes in the Latvian area of Rezekne and damages four empty oil tanks. Andris Spruds, Latvia's Defence Minister, resigns on May 10, after Evika Silina said that anti-drone system had not been deployed quickly enough. Ukraine claims that the drones are Ukrainian, but were diverted by Russian electronic warfare. Silina resigns from her position as Latvia's prime minister on May 14, triggering the collapse?of Latvia's coalition government after Spruds’ Progressives party withdrew its support. The authorities in Finland have warned 1.8 million residents of the greater Helsinki area to remain indoors due to suspected drone activity. They also suspended air traffic at the airport and scrambled fighter jets. Alexander Stubb, President of Finland, says that Finland is not directly under military threat. May 17-18 - Explosives were found near the debris from a suspected Ukrainian drone that crashed near the Latvian border, Belarus and Lithuania. A Romanian NATO fighter plane shoots down an suspected Ukrainian drone after it entered Estonian airspace via Russia on May 19. Ukraine apologizes to Estonia and other Baltic Allies, claiming that Russia redirected a drone via electronic warfare and denies using Latvian and?Estonian territories to launch attacks on Russia. Lithuania warns the people of Vilnius that they should take cover and stops traffic at its airport due to a drone flying in their airspace. Lithuanian legislators seek shelter underground in the parliament while train traffic has been suspended and schools and kindergartens have taken children to shelters. NATO fighter jets have been sent to the border regions of Russia and Belarus in order to combat this threat. On June 3, Latvia and Estonia issued warnings to residents in the bordering regions of Russia asking them to seek shelter overnight if they suspect any drone activity. In response, Latvia claims that NATO fighter jets have been scrambled. June 8: A French NATO fighter plane shoots down an unmanned aerial vehicle in Latvian airspace. Officials say that tourists have cancelled their visits to the Latvian bordering regions of Russia due to fears about drone incursions. Andris Kulbergs, the new Baltic Prime Minister, has stated that he plans to spend his summer holidays in the affected region. Finland temporarily restricts airspace and marine traffic off its coast, near the Russian border. From July 2 to 28, the restrictions will last for a period of time. The military announced on July 28 that these precautionary measures are being taken to "ensure the authorities can?operate" if drones stray in the area. The Latvian armed forces report that on August 14, jets in a NATO defense mission shot down a drone which entered Latvian airspace. Finland's defence forces have announced that it has temporarily restricted airspace and maritime traffic in the eastern Gulf of Finland to prevent possible drones.
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Governor says that fire effects have cleared at the Russian port of Ust-Luga following a drone attack
The Russian authorities quickly cleaned up the damage caused by an attack from a Ukrainian drone that sparked a fire in Ust-Luga on Friday, a major hub for oil exports. Ukraine has struck targets in Russia, including ports, refineries, and commercial warehouses in an effort to raise the cost for Moscow to continue the full-scale conflict it launched in 2022. Drozdenko wrote on the Russian messaging service MAX that "all the consequences of the attack at the port of Ust-Luga?have been cleared." "There were not any casualties." He did not provide any further information. Drozdenko had earlier claimed that more than '50 drones were brought down 'overnight' in the northern area around St Petersburg. Fuel shortages have resulted from the attacks on more than a dozen refineries, some of which were hit repeatedly. The governor of Tver, northwest of Moscow, reported that an attack was carried out 'overnight' on the warehouse of Wildberries.com. Their sites had been targeted over?20 time in the last month. He said that debris from "enemy" drones damaged the wall of the facility, but no one was injured. Finland has temporarily curbed movements in certain parts of the Baltic Sea in order to protect against drone attacks. (Reporting and editing by Mark Trevelyan, Clarence Fernandez and Jekaterina Glubkova at the Tokyo and Moscow bureau)
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Smart trucks and tugs that never sleep. Automation rewires US transport: Maguire
U.S. Transportation has become increasingly efficient with advances in engine technologies, infrastructure upgrades and more sophisticated logistic networks. The next wave will be different. Automation transforms transportation networks into continually optimizing systems. These systems consume less energy for each unit of movement, work longer hours, and reduce labor bottlenecks. They also reshape the demand for fuels, electricity, and other resources. Software increasingly dictates the way energy is consumed in the United States and how goods are transported. In Texas, driverless trucks haul commercial loads while AI is deployed on Mississippi River tugboats. Rails are increasingly relying on automated inspection and machine vision systems. Aviation regulators prepare for a future where cargo flights will operate with less human interaction. These developments, when viewed separately, may seem incremental. Together, these developments?indicate a freight industry that is more autonomous, continually optimized, and more productive. According to the Energy Information Administration, transportation is the largest source of energy in the U.S. It accounts for 37% of the total energy consumed. The transportation sector also accounts for around 70% of the total U.S. petroleum product demand. A major overhaul in the transportation sector will have a far-reaching impact on the U.S. as well as global energy markets for the next decade. THE MISSISSIPPI GOES DIGITAL The Mississippi River, the oldest freight artery of North America, is one of the latest adopters. America's inland waters move hundreds of millions tons of commodities each year, including fertilizer and grain, as well as biofuel feedstocks. Waterborne transportation accounts for just 4% of U.S. fuel consumption. In the past, river navigation was a human-experienced activity. To navigate the changing river conditions, captains relied on their local knowledge, visual observations and accumulated judgement. This is changing. The situation is changing. The technology can monitor hazards, track vessels, calculate stopping distances and analyze river conditions. It also identifies strategies to save fuel. It goes beyond navigation. The river transportation has an energy efficiency advantage over trucking. Towboats use buoyancy to do the majority of the work, while the water flow does the rest. According to the U.S. Army Corps of Engineers, one gallon of gasoline can?move more than 500 miles a ton of cargo on a barge compared to 60 miles in a truck. Automating barge traffic will increase this advantage by reducing fuel consumption, improving planning and minimizing delays. It is important because many of the commodities that travel on these waterways have energy content, ranging from crude oil and coal to fuels, to biofuel inputs. Transport costs that are lower can have a ripple effect on commodity markets and ultimately result in lower prices for energy-intensive goods. TRUCKS THAT NEVER SLEEEP American highways are likely to see the most noticeable automation revolution. The trucking industry, which accounts for more than 60% of the total fuel used in U.S. transport, is on the verge of a major overhaul. Trucking has improved over the years through better engines, aerodynamics and logistics software. One constraint, however, remained constant: trucks would stop when the driver stopped. This limitation is being removed by autonomous trucking. Aurora Innovation, along with other self-driving tech developers, have shown that driverless freight operations are commercially viable in Texas. They are working on a model where trucks will be used almost continuously. Theoretically, autonomous trucks could operate around the clock and not just during federally mandated driving times. This is a very different type of productivity improvement from previous transport advancements. The Industrial Revolution improved transportation by making machines more powerful. Automation increases asset utilization. The productivity of a truck that can move freight 20 hours a day, instead of 10, is doubled. This reduces the need for idle equipment across the network. Energy implications are complex. Automated systems can reduce fuel consumption by optimizing speed, braking and acceleration. Improved routing and platooning - where trucks are moved in close convoys to reduce drag - could further reduce diesel consumption. A reduction in freight costs may stimulate demand. The history shows that efficiency improvements have often led to an increase in overall activity. If driverless systems dramatically lower shipping costs, freight volume could increase enough to offset fuel saving. Over time, however, autonomous fleets may also be able to accelerate the electric trucking industry through optimized charging schedules, and centralized fleet-management. It would not only reduce costs, but also shift the energy demand away from diesel. RAIL'S QUIET REVOLUTION The railroads are one of the most mature examples of automation, but they're also the least talked about. Rail automation, unlike the autonomous truck story, is happening behind the scenes, through sensors, digital maps and predictive analytics. Freight railroads deploy automated track inspection systems more and more while trains are still in motion. Lasers, cameras, and machine-learning system continuously monitor track condition, wheel integrity, and equipment performance. This is a major shift in the way we monitor our systems. In the past, maintenance of rails was based on visual inspections. In most cases, defects were only discovered after they became serious problems. Automated systems are increasingly able to identify problems before they pose a risk. Wabtec is a major rail technology company and locomotive manufacturer. They have developed Pathfinder, an easy-to-use device. Pathfinder equips standard locomotives using hardware and sensors with digital capabilities, cameras and autonomous operation. Pathfinder, and other digital upgrade systems, could enable smaller railroad operators to upgrade their train lines using advanced autonomous technologies such as Positive Train Control and trip Optimizer. Benefits go beyond safety. A more reliable infrastructure allows trains to move faster, reduces bottlenecks and increases asset utilization. Rail is the most efficient land transportation mode, accounting for only 2% of all transportation fuel used in the U.S. Any shift from trucks to rails could reduce energy intensity across the economy. This may be one of the most underrated energy contributions from automation: it allows for greater use?of modes of transportation that consume less fuel per tonne-mile. AVIATION'S NEXT FUTURE Aviation is the least automated sector of transport, but this may change soon. The Federal Aviation Administration has started developing regulatory frameworks to support increasingly automated operations. Companies such as Reliable Robotics pursue FAA-certified autonomous cargo?aircraft that can operate from gate to gate under remote supervision. The United States. The U.S. Aviation automation is about increasing operational flexibility. Remote or autonomous cargo planes could connect smaller towns, improve logistics resilience, and create new freight network that is currently uneconomical. Initial energy savings could be modest. Aviation fuel consumption in the United States is only 9%, despite aircraft being heavily optimized. Automation could open up new transportation models. This is especially true for regional cargo, advanced air mobility, and electric-powered flight. Aviation automation could be compared to the early days on the Internet: the biggest impact may not come from making current activities cheaper, but by creating new options that were previously unavailable. What this means for energy markets Transport automation is often characterized by the narrative that machines replace people. This is too narrow. Software is replacing inefficiency. Backhauls that are empty. Backhauls that are empty. River delays. Fuel waste. Preventable rail slowdowns. Unutilized aircraft. This inefficiency represents hidden energy consumption throughout the economy. Automating these losses is a direct way to reduce them. Transportation systems can become smarter as they become more advanced. Freight movements can be smoother and assets can run longer. Maintenance can become proactive rather than reactive. The result could be an economy that is able to move significantly more goods with a lower energy consumption. NON-STOP ?LOGISTICS? Fuel transitions is often referred to as energy transitions. History shows that productivity shifts are often the most important economic transformative factors. Steam power was important because it multiplied the?human effort. Electricity increased productivity in factories and homes. Computing has reduced the cost to obtain information. Transportation automation is part of that lineage. AI-assisted boats on the Mississippi and autonomous trucks in Texas are part of the U.S.'s freight system, which is designed to save time, reduce fuel consumption, and maximize output. It may not matter whether trucks run on batteries, diesel or hydrogen. The question is whether trucks ever have to stop.
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Wall Street Journal, August 14,
These are the top stories from?the Wall Street Journal. These stories have not been?verified and we cannot vouch for their accuracy. Investigators who investigated the crash of a 'Ryanair aircraft that had engine failure over Greece in July found bird remains within an engine. The engine parts that pierced through the fuselage of the plane and dislodged the?window in the accident on July 10 seriously injured a passenger. Charter Communications has received the final approval required to purchase Cox Communications, a fellow cable and broadband service provider. This was after making concessions to Californian regulators. These included a promise to offer affordable internet plans to 'low-income households. Apple CEO Tim Cook and Commerce Secretary Howard Lutnick toured a Texas factory, showing off the new manufacturing school as well as an assembly line where Mac Mini computers will be produced later this year. Tyson Foods plans to close a major beef-processing plant and sell another. This is the latest move by the meatpacking company to withdraw from the "beleaguered" beef business. U.S. president Donald Trump has ordered the Navy to tear down a complex system that launches jet fighters off its aircraft carriers and instead use'steam catapults. This is a decision Navy officials have been fighting for years, which will cost a lot of money. - OpenAI ?said Chief Revenue ?Officer Denise Dresser would be stepping down to pursue other opportunities, less than a year after she joined the artificial-intelligence company. (Compiled by Bengaluru Newsroom)
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Airbus analysis reveals that Air India A320 briefly lost flight controls when it dropped 300 feet, Airbus
Airbus' preliminary analysis of the Air India A320 that landed about 300 feet and injured 24 passengers in a single?month revealed that it briefly lost control over its?key flight controls, after experiencing losses in each?three?hydraulic systems. Air India Flight AI2379, from Phuket to Delhi on August 4, landed safely at Delhi despite losing altitude. Airbus responded to a request from Air India for an assessment by saying that the aircraft's elevators, ailerons and control of pitch and roll were unavailable for approximately four seconds, during which time the plane pitched up. During this time, the first officer applied full nose-down input but "there was no direct response" from the flight-control surfaces. The hydraulic systems recovered in seconds. Airbus requested that Air India conduct a check on the plane's sensors and systems, and provide additional information regarding the incident. The analysis did not identify the root cause. Air India and Airbus have not responded to comments immediately. The Aircraft Accident Investigation Bureau is investigating the incident with technical support from Airbus and France’s BEA. According to a source with knowledge of the situation, the captain of a flight tested positive for marijuana during a confirmatory test. Air India began substance testing all pilots on Thursday, a memo revealed. Reporting by Abhijith Ganahapavaram; Writing by Hritam Mukerjee; Editing Jamie Freed
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Fuel oil from Malaysia PRefChem Refinery is headed to the US for the first time since 2023
Shipping data shows that a fuel oil cargo is heading to the United States from Malaysian company PRefChem for the first time since?2023. This is due to the?disruptions caused by the Iran War?, which are limiting the global supply of refinery feedstocks. The low-sulphur straight-run cargo (LSSR) can be fed to a refinery unit for production of higher-margin products such as gasoline or diesel. According to LSEG and?Kpler data, the last fuel oil shipment from PRefChem was shipped to the U.S. in May 2023. Kpler data shows that the Solomon Sea departed the Vopak Dialog 'Pengerang terminal in August loaded with more than 540,000 barrels LSSR fuel. It is scheduled to arrive in the United States early in September. A source familiar with the matter said that the cargo was headed?to an refinery on the U.S. West Coast. Petronas (owned by the state) did not reply to a comment request. The refinery, PRefChem, in Pengerang produces 300,000 barrels per day. The U.S./Iran conflict has caused a shortage of feedstocks, but margins for refining are strong. U.S. refiners typically import fuel oil from closer regions, such as Mexico or Venezuela. Trade sources say that PRefChem sold fuel oil via recent 'tenders' for the August loading of three cargoes each of 540,000 'barrels? of LSSR atmospheric residual. Ship-tracking data revealed that one cargo was loaded between August 12-13, and the other two were offered for loading on August 21-22 and August 30 and 31, respectively. According to IIR's data, the refinery's atmospheric distillation unit was down from June 21 to July 10. PRefChem produces fuel oil and gasoline sporadically. (Reporting and editing by Tony Munroe, Subhranshu Sahu and Jeslyn Lerh)
Price hikes and outlook cuts are used by airlines to combat the fuel price surge.
The aviation industry was blindsided by the sudden increase in jet fuel costs from $85 to $100 to $150 to $200 per barrel during the U.S. and Israeli war against Iran. Fuel accounts for as much as a quarter or more of the operating costs, which has forced airlines to raise their fares and change their financial forecasts.
Here is an alphabetical list of the ways airlines are responding to this issue:
AEGEAN AIRLINES
The Greek airline anticipates that the suspension of Middle East flights, as well as a spike in fuel costs will have a "notable" impact on its first quarter results.
AIRASIA X
Malaysian Airlines executives announced that the company has cut 10% of its flights in the group and imposed a fuel surcharge of around 20%.
AIR CANADA
Canada's largest airline has suspended its full year guidance due to the volatility of jet fuel prices.
The company announced previously that it would reduce four of its daily flights from New York to just 38 due to rising fuel prices.
AIR CHINA, CHINA SOUTHERN AIRLINES, CHINA EASTERN AIRLINES
China's "big three" airlines have increased surcharges for domestic flights to 60 yuan (8.78 dollars) for flights less than 800 kilometers and 120 yuan (about $13.80) for those more than 800 kilometers, respectively, from 10?yuan or 20 yuan.
AIR FRANCE-KLM
The airline group has said that it expects a fuel bill increase of $2.4 billion this year. It also downgraded the capacity outlook from 2025 to a 2%-4% increase. It had previously predicted an increase between 3% and 5%.
Cabin fares will increase by 50 euros ($59), per round-trip, to reflect the'surging fuel prices'.
KLM, the Dutch subsidiary of the group, announced on April 16 that it would cancel 160 flights across Europe in coming months due to rising fuel prices.
AIR INDIA
The Indian airline said that it will change its fuel surcharge system from a flat surcharge for domestic flights to one based on distance. The Indian carrier said that surcharges for international routes do not compensate the steep rise in fuel costs.
AIR NEW ZEALAND
On April 7, the airline announced that it would cut flights in May and June, and raise fares. It was one of the first airlines to announce a large increase in ticket prices after the conflict broke. The airline also suspended its earnings forecast for the full year due to volatility in the fuel markets.
AIR TRANSAT
The Canadian airline announced that it would reduce its planned capacity by 6 percent from May to October of this year. Cuts are expected to be made on routes to Europe, the Caribbean, and Cuba.
AKASA AIR
Akasa Airlines, based in India, announced that it would be introducing fuel surcharges ranging from 199 to 1,300 Indian Rupees ($2 - $14) for domestic and international flights.
ALASKA AIR
Fuel prices are rising sharply, putting pressure on airline margins.
The carrier had previously withdrawn its profit forecast for the full year and warned that earnings would be severely affected in the second quarter. The carrier has also reduced capacity in certain markets.
AMERICAN AIRLINES
The U.S. airline slashed their 2026 profit projection, pushing lower expectations to a loss. They also said they expected to see an increase in jet fuel costs of more than $4 billion for this year.
The government has increased the fees for checked bags on domestic flights and short-haul flights by $50 for the third bag and $10 for each of the first two bags. It also reduced certain benefits to economy passengers.
It said that higher fuel costs would increase its costs by approximately 140 billion yen (890 million dollars) this year. However, it is expected that hedging, lower fares, and cost-cutting measures will limit the impact to around 60 billion. It has said that it will consider introducing an internal fuel surcharge for the fiscal year starting April 2027.
ASIANA AIRLINES
Newsis reported that the South Korean airline would cut 22 flights from April to July because of fuel price increases.
CEBU AIR
The Philippines-based carrier said that the sharp increase in fuel prices is a major concern. It will continue to review pricing and network strategies and try to minimize the impact.
DELTA AIR LINES
Delta announced that it would reduce capacity by 3.5 percentage points compared to its original plan and raise fees for checked baggage in order to offset the rising costs of jet fuel. The increase will be $10 on the first and second bags, and $50 on third bags.
The U.S. carrier pulled all planned growth in capacity for the current quarter, and forecast profits below Wall Street expectations.
EASYJET
EasyJet has warned that it will suffer a larger half-year loss before tax of between 540 and 560 millions pounds ($732 and $759million), including an extra 25 million pounds of fuel costs in march.
FRONTIER Airlines A group of U.S. Budget Airlines, including Frontier, has proposed a $2.5 Billion Relief Plan to the U.S. Government. The Wall Street Journal reported. The report stated that the figure was based on the amount of jet fuel the group is expecting to spend this year in comparison to previous forecasts.
Fuel prices have increased dramatically since the carrier's forecast, and it has stated that it will be reviewing it.
GREATER BAY Airlines
Hong Kong based company, said that it will increase fuel surcharges for most routes on April 1 and keep them the same on routes to mainland China?and Japan.
HONG KONG Airlines
The airline announced that it would increase fuel surcharges up to 35% on flights between Hong Kong, the Maldives and Bangladesh, and Nepal.
British Airways' owner IAG announced it would increase ticket prices in order to reflect the higher costs of jet fuel. Despite its fuel hedges it is "not immune" from the wider fallout caused by fuel price volatility.
INDIGO
India's largest airline announced that it will introduce fuel charges for domestic and international flights starting March 14. The charge for flights into the Middle East is 900 rupees and for flights into Europe, 2,300 rupees.
JETBLUE AERWAYS
JetBlue announced that it would reduce hiring, reduce capacity, and raise fares in order to mitigate the impact of the rising jet fuel prices. CEO Joanna Geraghty stated on a earnings call that the airline had suspended its outlook for the full year.
Sources with knowledge on the subject have confirmed that KOREAN will be entering emergency management mode in April as oil prices continue to rise.
LATAM AIRLINES
The Chilean carrier has cut its core earnings forecast for 2026 after rising jet fuel costs pushed up costs.
LUFTHANSA
The German airline group has said that it will be hit by jet fuel prices of 1.7 billion euros in 2026.
Its subsidiary ITA Airways announced that it would increase ticket prices by between 5% to 10% in 2026, to compensate for rising fuel costs.
The group announced in April a new low-cost "Economy Basic", which limits free carry-on luggage to a "laptop or small backpack".
The group had previously announced that 20,000 short-haul flight would be removed from their schedule by October, which is equivalent to approximately 40,000 metric tonnes of jet fuel.
PAKISTAN INTERNATIONAL FLIGHTS
The airline said that it would increase domestic flight fares up to $20, and international flight fares up to $100. It cited higher fuel surcharges as the reason for this.
QANTAS AIRWAYS
Qantas, an Australian airline, said that it has delayed a planned A$150-million ($108-million) buyback. It also increased its fuel estimate for the second half 2026 from A$2.5 billion to A$3.1-3.33 billion.
Scandinavian Airlines announced that it would cancel 1,00 flights in April due to high jet fuel and oil prices. In March, the airline had cancelled "a couple hundred" flights.
SPIRIT AIRLINES
The U.S. Low-Cost Carrier shut down abruptly, after collapsing due to financial pressures. This included the sharp increase in fuel prices caused by the Iran War.
SPRING AIRLINES
Budget Chinese airline announced that it will increase fuel surcharges for domestic flights starting April 5. Details to be announced in due course.
SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWAST AIRLINES
The?U.S. The?U.S.
The previous increase in the cost of checked bags was $10.
The Portuguese airline claimed that its price increases would partially offset the impact of fuel prices changes on its revenues.
THAI AIRASIA
The Thai low cost carrier announced that it would reduce its overall seat capacity between May and July by 30% on average to offset the impact of rising aviation fuel costs and a softening of demand.
THAI AIRWAYS
The Thailand-based airline said that it would increase fares between 10% and 15% in order to combat rising fuel prices.
The European airline, tour operator and travel agency cut their full-year profit forecast and suspended revenue guidance. They said they had incurred extra costs of about 40 million euro due to the March war, including repatriation and operational disruptions.
TURKISH AIRLINES LUFTHANSA
SunExpress, the joint venture between Turkish Airlines, Lufthansa and Lufthansa announced that it would charge a temporary fuel surcharge of 10 euro per passenger for routes between Turkey, and continental Europe. The fuel surcharge applies to all bookings made after April 1, for departures after May 1.
Turkish Airlines announced on April 10, that it would not be distributing any dividends from its net profit for 2025, instead choosing to keep the earnings and preserve cash.
T'WAY AIR
As part of measures taken to combat the effects of war, the South Korean low-cost carrier said that it would furlough cabin crew in May and/or June without pay.
UNITED AIRLINES
Scott Kirby, CEO of the U.S. airline, said that ticket prices could need to increase by up to 15% or 20% in order to offset an increase in jet fuel prices. The company has already implemented five fare hikes late in the first-quarter, along with increased baggage fees that it says have begun to offset rising fuel prices.
The carrier forecasted second-quarter profits and full-year profit below Wall Street expectations. It said it would recover only 40-50% through fares and revenue measures during the second quarter, but that this figure could rise to 70-80% by the third and up to 85-100% in the fourth.
VIETJET
Vietnamese budget airline has announced that it has adjusted flight frequencies on certain routes due to possible fuel shortages.
VIETNAM Airline
Vietnam's Aviation Authority announced that the carrier will cancel 23 flights a week on domestic routes starting in April after it requested assistance from the government to remove an environment tax on jet fuel.
VIRGIN ATLANTIC
Corneel Kster, the CEO of the airline, told The Financial Times that despite adding fuel surcharges on fares this year it will struggle to achieve profitability.
VIRGIN AUSTRALIA
Virgin Australia has said that it expects an increase of jet fuel costs of between A$30 and A$40 million in the second half of the fiscal year. It also anticipates a 1% decrease in capacity for the fourth quarter.
VOLOTEA
The Spanish low cost airline has introduced a new pricing strategy that links ticket prices with fuel costs. This could add an additional surcharge after purchase of up to fourteen euros per passenger per flight.
WESTJET
Globe and Mail reports that the Canadian airline has reduced seat capacity in June. The Canadian Press reported previously that the airline would add C$60 ($44.50) to certain bookings, and combine flights due to rising costs.
(source: Reuters)