Air Canada will suspend flights from Toronto and Montreal to New York’s John F. Kennedy International Airport (JFK) starting June 1, citing doubled jet fuel prices since the Iran conflict began. The suspension will last until October 25, though service to LaGuardia and Newark will continue. The airline cited profitability concerns as jet fuel now accounts for 25-30% of operating costs, with prices reaching $4.62 per gallon in May, up from $2.50 before the war. Air Canada will rebook affected passengers on alternative routes.
Global Impact on Airlines
Delta Air Lines has also cut four routes this summer, including JFK to Memphis and St. Louis, citing operational considerations. Edelweiss Airline canceled its Seattle-Zurich route, blaming fuel costs and lower demand. Lufthansa and KLM have reduced flights due to fuel shortages, with the International Energy Agency warning Europe may have only six weeks of jet fuel left. Airlines worldwide are raising baggage fees and fares to offset costs.
Economic and Operational Challenges
The Strait of Hormuz’s reopening briefly eased oil prices, but fuel costs remain high. Airlines pre-sold tickets based on stable fuel prices, forcing cancellations to avoid financial losses. The International Air Transport Association notes jet fuel is the largest airline expense, with surging costs threatening profitability on less lucrative routes.