Transportation
US Airlines Brace for Second Year of Turmoil as Fuel Costs Surge
Ground operations employees fuel a plane on the tarmac at Denver International Airport.
Photographer: Matthew Staver/BloombergUS airlines were preparing to put aside the chaos caused by US President Donald Trump’s tariffs this year and the ensuing plunge in travel demand. Instead, they face a second year of turmoil as jet fuel prices spike amid war in the Middle East.
Jet fuel, responsible for as much as 30% of an airline’s costs, soared in the past week to over $4 a gallon after hovering around $2 for most of 2025. As a result, airlines now have to find the right balance between raising fares to cover that expense and being mindful of the price sensitivity of cash-strapped customers.