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US airline jet fuel prices jumped by $1.8 billion (56%) in March

The U.S. Transportation Department reported that major U.S. airlines spent just over $5 billion in jet fuel during March. This is up $1.8 'billion, or 56%, from what they spent in February.

Fuel cost $3.13 per gallon in March, an increase of 74 cents and 31% compared to February. USDOT reported that fuel consumption increased by 20% in March.

The disruptions in shipping through the Strait of Hormuz since the U.S. and Israel's war against?Iran have?roiled the global oil markets. The soaring jet fuel price has created the biggest crisis in the aviation industry since the COVID-19 epidemic.

In March 2025, airlines spent $3.88 Billion on jet fuel. This is a far cry from the $5.06 Billion they spent in?March of this year.

Major U.S. airlines?have raised air fares, increased baggage fees and cut some routes. Fuel can account for as much as a quarter or more of airline operating costs.

Spirit Airlines, the ultra-low cost carrier that ceased operations last Saturday, announced this week it had paid an additional $100 million for fuel in March and April. The fuel price spike was cited as the reason why its restructuring plan had failed, and that it was forced to end operations.

Southwest Airlines CEO Bob Jordan said last week that "every?airline" is affected by high fuel prices. It's your responsibility to build your company in such a way that it is resilient and can survive these events because they do happen.

Last month, low-cost 'carriers' asked the USDOT for a $2.5 billion bailout to address rising fuel costs. Transportation Secretary Sean Duffy told reporters that he didn't think it was necessary at this time. (Reporting and editing by David Shepardson)

(source: Reuters)