EasyJet's losses are in line with predictions, and they signal continued Iran War pressure

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• Airbus notifies some customers about further A350 delays

  Airbus informed some customers of further delays in delivering the?A350 later this decade. This has raised new concerns about shipments coming from a US-based company. Three industry sources confirmed that Airbus recently acquired a parts factory in the United States. Sources said that the delays are mainly due to ongoing difficulties in securing crucial fuselage parts at the former Spirit AeroSystems facility in Kinston, North Carolina. Airbus also said that the cargo doors for the A350 Freighter, which were built in Spain, are also experiencing some problems. Airbus has said that it never makes comments about delivery dates. A spokesperson confirmed that the A350 Freighter is on track to deliver its first aircraft in 2027 and fly its first flight later this year. Airbus purchased the Kinston plant, along with Spirit’s Belfast-based A220 wing factory, last year, as the majority of the supplier returned back to its former parent Boeing. The robot-equipped Kinston facility?makes composite panel for the upper fuselage of the A350 long-haul and carbon-fibre spars or beams for each wing. Sources in the industry said that staffing problems had hindered the transition to 'Airbus,' with some employees choosing to return to former Spirit operations under Boeing. A senior aerospace source said that the transition had not been smooth. Airbus informed analysts that it had found no negative surprises in 'Kinston', but CFO Thomas Toepfer emphasized the logistical difficulty of sending European experts to support the ramp up. Reporting by Tim Hepher. (Editing by Alex Richardson, Mark Potter and Mark Potter.)

• UK delays import ban on jet fuel and diesel derived from Russian crude

  The UK announced on Wednesday that it would continue to allow the importation of jet fuel and diesel refined from Russian crude into third-country countries. This ban was first announced in October to help the country deal with the supply problems caused by the Iran War. The decision was criticized by lawmakers in Britain and Ukraine, who claimed that the government had backed down on its promises to stop Moscow from profiting off oil production and using it to fund their war against Ukraine. The Prime Minister Keir starmer said that the measures are part of a larger sanctions package which increases pressure on Moscow. He also stated that allowing the imports to continue is a way to phase in the ban. Starmer said in Britain's Parliament that there was no question of lifting sanctions. The government did not ease the pressure on Moscow. Chris Bryant, the minister of trade and commerce, said that the measures are being taken in light of the Middle East situation. He also stated his intention to suspend the measures - essentially implementing the prohibition - as quickly as possible. The carve-out that comes into effect Wednesday allows Britain to import jet fuel and diesel from third countries, such as India or Turkey, that could?be derived directly from Russian oil. This will allow for additional supplies at a time when prices are rising. In April, airlines warned of a possible summer shortage of jet fuel, but have recently sounded a more optimistic tone about availability. However, many carriers have raised fares or?cut flights. BRITISH LAWMAKERS CHALLENGE A MOVE Kemi Badenoch, the Conservative opposition leader in Parliament, told Starmer that he chose to "buy dirty Russian crude oil" and "that money will fund the killings of Ukrainian soldiers". Senior Labour legislator Emily Thornberry added that Ukraine was "very disappointed". Oleksiy Honcharenko, a Ukrainian opposition lawmaker, told Times Radio the British decision had been "deeply disappointed" and questioned the support of the country. A Volodymyr Zelenskiy adviser said that the Ukrainian President's Office was in "very active contact" with the British government which was clarifying the details. Brent crude traded at $109 per barrel on Wednesday. This is 50% more than it was before the Iran War, due to the disruptions in the Strait of Hormuz. The United States extended on Monday a waiver of sanctions allowing the purchase of Russian seaborne crude oil in order to help energy-vulnerable nations hit by supply disruptions. The European Commission has criticised Washington for extending the waiver. This is the second extension of a March measure. It warned that it could boost Russia's revenue. Valdis Dombrovskis, EU Economy Commissioner said Tuesday that the EU does not believe this is the right time to reduce pressure on Russia. There are still thousands of sanctions left. Since Russia invaded Ukraine on a large scale in 2022, Britain sanctioned over 3,200 people, businesses, and ships. The British government announced in October that it planned to ban the importation of oil products, such as jet fuel and diesel refined from Russian crude oil in third-country countries. Yvette Cooper, the then-foreign minister, described the measures at the time as a "huge hit" on the war machine of Russian President Vladimir Putin, while Rachel Reeves, the finance minister, said that Russian oil was "off the markets". The UK also signed a G7 declaration on Tuesday reaffirming its "unwavering" commitment to impose "severe" costs on Russia. The wider package of sanctions includes restrictions?linked to Russian trade in energy and a ban on uranium and related services. BRITAIN'S CAPACITY GAP Britain now has only four active refineries. This is down from nine refineries in 2000. After the recent closing of the Lindsey Refinery, the combined capacity of these refineries is around one million barrels a day. According to the latest IEA Report, Britain's total product demand for March was 1.35 million barrels a day, with 61% being diesel and jet fuel. Kpler data shows that in 2025 Britain imported 483,000 barrels per day of middle distillates. India, Kuwait and Saudi Arabia accounted for 35%. Dan Tomlinson, junior treasury secretary, also defended this change as "a sensible decision" that would help to ensure the security of supply while helping industry and household. Tomlinson, a BBC reporter, said that Britain continues to "support Ukraine" by providing billions in military equipment as well as through the numerous sanctions still in place. Separately, Britain issued on Tuesday a license until January for the maritime transport of liquefied gas from the Sakhalin-2 project and Yamal project, and related services including shipping, finance and brokerage. Sakhalin-2 in the Far East and Yamal LNG, in the Arctic are two of Russia's biggest gas export projects. Sam Tabahriti, Seher Dareen and Sarah Young in Kiyv, Shadia Nasralla, Olena Hartmarsh and Sarah Young in Kiyv, and Sam Tabahriti, writing. David Goodman, Daniel Wallis and Elizabeth Piper edited the article.

• Europe's airlines claim wars and red tape hold them back while rivals race ahead

  A 'lobby' group representing Europe's major carriers has said that the continent's airlines have been losing ground to their 'global competitors' and require stronger EU support to combat rising regulatory costs, affordable sustainable 'jet fuel and to better manage crises. The European Union is seeking feedback on its new Aviation and Aeronautics Strategy. Submissions are due by Thursday. Airlines for Europe's (A4E), in its submission to the EU, seen on Wednesday, said that the COVID-19 epidemic, the closure of the?Russian airspace and the Middle East crisis, along with the growing global protectionism, have worsened EU carriers' competitive disadvantage. The group, which includes carriers such as Ryanair, Air France KLM, and Lufthansa has advocated for reforming air traffic control and limiting disruption in Europe. It also urged for looser sustainability regulations and to help make the sector more competitive globally. The group wants the EU to create a stronger framework for crisis management and an aviation waiver that would allow obligations be temporarily suspended or re-adjusted when they are clearly "impractical" or "counterproductive". Airline travel was disrupted by the COVID-19 pandemic, and also the U.S.-Israeli conflict with Iran. The document calls for the EU to address the "structural failure" of the market for sustainable aviation fuel (SAF), and deal with the challenges of airspace congestion, and the loss of market shares to non-EU airlines such as Chinese or Middle East carriers.

• Senators criticize US Transport chief for road trip funded by corporate donors

  Two Democratic U.S. Senators on Tuesday criticized Transportation Secretary Sean Duffy's road trip, which was filmed for a web series and paid for by donors of the companies that his department regulates. "Your vacation was paid for by Boeing and Toyota, United Airlines, Enterprise, Shell and Royal Caribbean Group", said Kirsten Gillibrand. She is the top Democrat in a Senate Appropriations Subcommittee. She pointed out that USDOT regulates these companies and other donors. Gillibrand told a budget meeting that "this road trip does not smell right." "I don't think that it is right, and you should explain to Americans why you are taking a trip that has been paid for by the companies you regulate." Similar concerns were raised by Democratic Senator Patty Murray. Duffy attacked both Democratic Senators for accepting their own political donations. Murray said that USDOT is responsible for determining whether Toyota will be required to carry out a safety recall. Toyota has declined to comment. Both Senators noted that a rise in 'oil prices during U.S.-Israeli War on Iran may prevent some Americans from going on road trips this summer. Murray pointed out that the cost of?jet fuel has risen dramatically this summer, making flights more expensive. Duffy defended his trip by saying that no taxpayer funds were used, and the trip was approved by an official of career ethics. He explained that the trip was part of a celebration of the 250th anniversary of the United States and an attempt to encourage people to go on road trips. The trip was filmed over a period of 24 days and included a visit to?the White House in Washington, Fenway Park Boston, St. Louis' Gateway Arch, and Philadelphia and Montana. Duffy stated that the sponsors of the event "nobody gets anything from me." Duffy said that Congress directed him to promote tourism and travel. Duffy, who is a father of nine and a former reality television star, also served as a member of Congress, claimed that the show did not pay him or his family any salary or production royalty. The road trip was a series of one- or two-day trips that took place over an eight-month span, as well as during his children's spring break. The five-part series will be available on YouTube. Citizens for Responsibility & Ethics in Washington filed a complaint alleging that the situation may have violated federal rules on gifting and travel. The group asked the Office of Inspector General of the Transportation Department to investigate. The group also pointed out that a Toyota car is prominently displayed in a series promotional video. (Reporting and editing by David Shepardson)

• Airbus targets 10% savings on costs due to global uncertainty and supply problems

  Airbus Europe has cut back on non-industrial spending by 10% as supply chain issues and global uncertainty continue to affect its core business. They said that the clampdown will only affect activities related to the headquarters and planemaking division, but not production. The clampdown has been in place for several weeks, and is part of the LEAD project launched in 2024 to reduce costs. Sources said that the new "cost-containment" measure aims to reduce the use of outside contractors, which are traditionally a major resource for the largest planemaker in the world. Airbus, based in Toulouse, declined to comment. This previously unknown move is in line with efforts made by Western companies in order to reduce spending due to the economic uncertainty?and costs associated with the Iran war, and other trade tensions. Review of company statements from the United States and Europe, published on Monday, revealed that companies are facing a bill at least of $25 billion due to soaring energy costs and fracturing supply chains. Airbus CEO Guillaume Faury said last month to analysts that the war had not caused any immediate disruptions, but the group was concerned about the impact that higher oil prices could have on the price of derivative products. A problem with fuselage panel for A320 series planes had already disrupted financial planning late last year. 'BUILDING STRESS' Airbus has also been involved in a dispute with Pratt & Whitney over the delivery of engines. Sources said that the concerns over the integration and supply of parts of defunct aerostructures by Spirit AeroSystems continue to affect A350 part production. Aircraft deliveries - which drive profits - fell 16% in the quarter, as seasonal patterns were amplified by supply pressures. Airbus's new cost-reduction initiative, according to industry sources, has highlighted the challenge ahead of catching up with deliveries. Airbus aims to increase deliveries by 10% this year, to 870 aircraft. Cirium data shows that Airbus has delivered 27 aircraft this month. Rob Morris, an aviation analyst, said: "I don't see any acceleration. That's the problem." "They're building stress in the system, if they want to make 870 delivery." Faury informed analysts in April the vast majority A320 family aircraft that were affected by defective panels from a Spanish manufacturer would be delivered before the end of the month. (Reporting and editing by Emelia Sithole Matarise; Reporting by Tim Hepher)

• Minister says cost of UK's rail HS2 project could soar to $138 Billion

  Transport Minister Heidi Alexander revealed on Tuesday that the bill for Britain's high-speed rail line, HS2, could reach a staggering?103 billion pounds ($138billion). This is?the latest in a series of cost overruns for?the beleaguered project. HS2 was originally designed to increase capacity and catch up Britain with other European countries that have extensive high-speed network. The spiraling budget and delays in the project meant that successive governments had to drastically reduce the length of this new line. This put the future of the entire?project' at risk. Alexander stated on Tuesday that a new analysis shows cancelling the order now would cost the same as continuing. She said that the cost of the line connecting central London to Birmingham is now estimated between 87.7 and 102.7 billion pounds. Services will not begin until 2036 or 2039, a decade later than originally planned. Alexander stated that "taxpayers, passengers, and communities along the route have been let down for years by mismanagement of HS2". She added that she is confident in a team who had delivered London's Elizabeth Line. NO STOP IN CENTRAL LONDON UNTIL 2040 AT LEAST The first trains into Euston Station in central London will not operate until 2040-2043. Trains that run before then will terminate at Old Oak Common, west London. Alexander blamed the previous government for their decision to build the "world's fastest train" with a highly engineered and bespoke railway. He also said that inflation, inefficient delivery and underestimation were the reasons behind the cost increases. HS2 was intended to modernize Britain's mostly Victorian era?railway system and improve connections between London and northern England. The cost was estimated to be 32 billion pounds by 2011. As the cost of the bill grew, the connections to northern cities like Leeds and Manchester had to be cut off in the early 2020s. The bill was estimated to be 56 billion pounds by 2018, but multiple reports have since put it at closer to 100 billion.

• Portuguese Cabin Crew Union to Join June 3 National Strike

  A union spokesperson announced on Tuesday that members of the Portuguese 'cabin crew' union SNPVAC had voted to join an upcoming?June 3,?nationwide?strike which will disrupt flights operated TAP, Ryanair, and EasyJet. Portugal's largest umbrella union, CGTP called the general'strike' in protest of the government's 'labour reforms'. SNPVAC stated that it could not be indifferent to what it called a "unprecedented assault on fundamental rights and established rights" by the Government. TAP, the largest airline in Portugal, operates about 300 flights a day between the airports and the base. Ryanair?and easyJet are the next two airlines, then smaller carriers like?Azores Airlines. One of the most controversial measures in the labour reform is that it makes it easier for employers to dismiss their employees with a good reason. Another is the lifting of limits on outsourcing. Reporting by Sergio Goncalves, Editing by Charlie Devereux and Aislinn laing, and David Goodman

• British Airways extends Middle East flights to August 1,

  British Airways delayed the resumption of flights to Dubai, Doha and Tel Aviv for a month to August 1, according to its website. Since the U.S. and Israeli war against Iran began late in February, a number of airlines have cancelled flights to or from?the area. British Airways spokesperson said that due to the current situation in the Middle East, they have altered their flight schedule to give more clarity to 'our customers. IAG's long-haul carrier plans to cut flights to the Middle East once?services return, and permanently drop Jeddah from its list of destinations, as it announced in April. The airline also plans to reduce services to Dubai and Doha to one daily flight. The spokesperson stated that "we are keeping the situation under constant review, and we're directly in touch with affected customers to offer them a variety of options." (Reporting by Prerna Bedi in Bengaluru; Editing by Mrigank Dhaniwala)

• WHO official: Test shortages hinder the fight against Ebola virus in Congo

  A World Health Organization official stated that limited testing capacity is slowing the response to the Ebola outbreak. According to the WHO, there are at least 500 suspected Ebola cases and 130 suspected Ebola deaths. The disease has spread into Uganda. We have shipped 12 tons of supplies. Six more are expected to arrive today. Anne Ancia said that the samples included personal protective equipment (and) for frontline healthcare workers. Ancia stated that there is "great uncertainty" about the scope and scale of the Bundibugyo Ebola outbreak, and increased surveillance, testing, and contact tracing are underway. She stated that testing for the Bundibugyo was limited, with only six possible tests per hour. She said it took weeks for the outbreak to be detected, in part because the tests used at the outbreak site were designed for the Zaire strain. She added, "The capacity for surveillance and investigation is very limited in the region as a whole." Ancia stated that funding shortages had a huge impact on WHO's capability to fight Ebola. Ancia?said that the United States officially left the WHO at the end of January, and President Donald Trump has cut global health spending. However, the U.S.'s cooperation in fighting the outbreak is working "very well". She said, "We understand we can't receive funding. It's okay. But we want to continue talking, exchanging information and collaborating." OCHA, the U.N.'s humanitarian office, said it had received only 34% of the $1.4 billion funding requested for its appeal in the Democratic Republic of Congo for this year. It added that more than half of that money came from Washington.

• WHO chief is concerned about the speed and scale of Ebola outbreak

  As the number of Ebola cases continues to rise, the head of the World Health Organization has expressed his deep concern. Tedros Adhanom Gebreyesus, WHO director-general, said that there have been at least 50 suspected cases of Ebola and 130 suspected deaths since the outbreak began. Later, 131 deaths were attributed to the outbreak in the eastern Democratic Republic of?Congo. According to a daily bulletin from the health authorities, there have been 516 suspect cases and 33 confirm cases in the?Congo. Two confirmed cases were also reported in the neighbouring country of?Uganda. Tedros said that the "numbers" will change, as field operations, such as strengthening surveillance, contact tracking and laboratory testing, are scaled up. Tedros expressed his deep concern about the speed and scale of the epidemic. Tedros announced that the WHO Emergency Committee will meet later on Tuesday to discuss Ebola. The WHO chief is advised by an emergency committee of international experts. The WHO is concerned by a number of factors, including cases in urban areas such as Kampala, Uganda and Goma, DRC as well as the conflict affected province of Ituri. Cases reported among health workers ?also indicate healthcare-associated transmission, Tedros ?said. The WHO approved $3.9million?in funding for national authorities to respond to this outbreak.

• Ryanair does not expect a rise in summer peak fares but the risk of fuel shortages has receded

  Ryanair warned on Monday that the U.S. and Israeli war against Iran would likely cause consumer anxiety, which could wipe out any increase in summer fares. However, the threat of fuel shortages has receded as suppliers adjust to the closing of the Strait of Hormuz. Commentary came at the same time as Europe's biggest airline by passenger number reported a record-breaking profit for its fiscal year ending in March. This was slightly above analyst expectations. Ryanair said last week that it does not expect any disruptions in jet fuel supplies for Europe this summer, but its profit may be "a little pressured" if oil costs remain high. SUMMER TICKET PRICES 'TRENDING BROADLY FLAT' Low-cost carrier said it had expected fares to increase by a low single-digit percentage during peak summer months. However, prices "are?now?trending broadly flat? in the July-to September period due to inflation fears and concerns from consumers about fuel shortages. Ryanair stated that the visibility of fares was poor and that summer profitability would be heavily dependent on last-minute reservations. Chief Financial Officer Neil Sorahan stated in an interview that the airline is "increasingly certain" there won't be any disruption in jet fuel supply even after summer, as suppliers increase their volumes and look for alternatives to Gulf Oil supplies. In a video, Michael O'Leary, the Group Chief Executive of?O'Leary's group, said that?there will be no disruptions between now and mid July. 'RECORD TRADE, RECORD PROFITS.' Ryanair announced a net profit after tax of 2,26 billion euros for the fiscal year, up from 1,61 billion euro a year ago. This is a significant increase over the 2.20 billion euro forecast by analysts in an 'internal poll. This did not include a '85 million-euro special provision in relation to a fine imposed by the Italian Competition Authority in December, which?it expects will be reversed on appeal. O'Leary stated, "We've had a record-breaking year with record traffic and record profits." "We are experiencing significant uncertainty at this time."

• Ryanair's peak summer fares are flat, as Iran uncertainty affects bookings

  Ryanair warned on Monday that economic uncertainty "looks like it will wipe out any growth" in fares during the summer peak months, as the Irish airline reported a profit slightly above expectations for 'the year to March. Last week, the largest airline in Europe by passenger numbers said that it did not expect any disruptions to the jet fuel supply in Europe during the summer months. However, its profit could be "a little under pressure" if oil prices continue to rise. It reported a profit after tax of 2,26 billion euros for the year that ended in march, compared to a forecast of 2,20 billion euros in an analyst poll. This did not include a special 85-million euro provision related to an Italian competition authority fine in December, which it has said it expects to be reversed on appeal. The airline stated that "pricing has been lowered in recent weeks due to the economic uncertainty brought on by the higher oil price, the fear of fuel shortages, and the potential impact of inflation on consumer spending." The statement stated that the pricing for the quarter of July to September, which was expected to show gains in the low single-digit percentage range, is now "trending broadly flat". It said that "with zero H2 visibility and significant fuel prices/potential supply volatility, it is far too early at this point to give any meaningful guidance for FY27 profits."