
New Zealand's national airline has become the latest to cut flights and hike fares as jet fuel prices surge to record levels due to the US-Israeli war with Iran.
Air New Zealand's cancellations are expected to hit routes in and out of Auckland, Wellington and Christchurch, with flights to smaller airports unchanged.
Many airlines around the world have had to take emergency measures to counter the surge in the cost of fuel, which typically makes up 20-40% of their operating costs.
Last week, the benchmark European jet fuel price hit an all-time high of $1,838 (£1,387) per tonne, compared with $831 before the war began.
The Gulf is a major source of aviation fuel, accounting for about 50% of Europe's imports. The bulk of it comes through the Strait of Hormuz, which Iran has effectively closed in response to US and Israeli attacks.
The price surge also reflects the role Middle Eastern refineries play in jet fuel supply. The Al-Zour refinery in Kuwait alone provides roughly 10% of Europe's jet fuel imports, according to Energy Intelligence.
Air New Zealand, which had already cut some flights last month, said the "vast majority" of customers by the cancellations were being alternative offered flights on the same day.
"Like airlines globally, we're experiencing jet fuel prices that are more than double what they would usually be" a spokesperson said.
Many airlines in Asia have been cutting flights and raising fares to cope with the situation. Last week, Korean Air became the latest carrier to say it was moving into emergency management mode.
But airlines globally have been taking action. US airline UnIted Airlines and Scandinavia's SAS are among those to have cut flights and increased ticket prices.
Air France-KLM has said it plans to increase prices on long-haul flights, while Cathay Pacific is raising its fuel surcharge.
British Airways owner IAG and EasyJet have been able to hold off on either measure so far as they are buying their fuel at a price fixed before the war began.
However, Ryanair Michael O'Leary told Sky News last week that jet fuel supplies could start to be disrupted in May if the conflict continued.
LATEST POSTS
- 1
Why doing good also makes us feel good, during the holidays and beyond - 2
How one man's concern saved his brothers from heart disease - 3
Avoid Slam: Exploring the Pickup Truck Transformation - 4
Wedding Guest Outraged That Bride and Groom, Who Are in Their 60s and Have Both Been Married Before, Registered for Gifts - 5
Several Israelis attempt to cross into Gaza, escorted back to Israel by IDF
Europe's powerful Ariane 6 rocket launches Sentinel-1D Earth-observation satellite to orbit (video)
'Pluribus' release date: Everything you need to know about the new series from 'Better Call Saul's' co-creator
Ukraine proved this drone-killer works. Now, the West is giving it a shot.
Vial marked 'Polonium 210' sparks scare during German Easter egg hunt
Unfathomable and Entertaining Legal disputes That Surprise everyone
Full SNAP benefits must be paid ‘promptly,’ USDA tells states as government reopens
Instructions to Distinguish the Wellbeing Dangers Related with 5G Pinnacles
Philippines evacuates 3,000 villagers after volcano activity raises alert level
Between 600 to 800 aid trucks entering Gaza daily since start of ceasefire, COGAT confirms













