Jet fuel prices have risen sharply in 2026 due to conflict-related disruptions in the Middle East and concerns around supply routes such as the Strait of Hormuz. Airlines globally are warning about higher operating costs, fare increases, and pressure on profitability.
Recent market data shows (as of 20 June):
- Global Jet A-1 prices around $160–$197 per barrel during peak volatility earlier this year.
- Current global averages have eased somewhat to about $162.89/barrel or roughly $1.02 per litre.
- In Saudi Arabia, Jet A-1 prices were recently reported around $86.4 per barrel and $0.547 per litre at major airports including King Fahd International Airport.
The increase is having a major effect on airlines:
- Singapore Airlines warned of margin pressure from rising fuel costs.
- Air New Zealand said fuel costs could rise by more than 30%.
- Cathay Pacific increased fuel surcharges by 34%.
Fuel now represents one of the largest operating expenses for airlines, which is why ticket prices and cargo costs are also increasing globally. Jet fuel prices across the Gulf have become increasingly important as regional tensions continue to affect energy markets and aviation routes. Despite the volatility, Gulf countries still benefit from relatively competitive fuel pricing compared with many global regions because of their proximity to major oil production and refining capacity.
Key aviation hubs such as Dubai, Doha, and Riyadh remain central to international airline operations, but carriers are facing higher costs from rerouting, insurance premiums, and regional security concerns. Airlines operating through the Gulf are also managing the risk of disruption around the Strait of Hormuz, one of the world’s most critical energy transit corridors. Although Gulf jet fuel prices are generally lower than in Europe or parts of Asia, recent geopolitical tensions have still pushed costs upward. This impacts airlines, cargo operators, offshore energy travel, and corporate aviation. Companies with heavy regional travel requirements are increasingly focusing on fuel efficiency, optimized routing, and flexible travel planning to manage costs and maintain operational resilience.
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