World

West Asia war sends global air travel demand into decline as fuel costs surge

Airlines face collapsing demand in the Middle East, soaring fuel prices and growing pressure to cut flight capacity, according to the International Air Transport Association

Updated 2 months ago · Published on 29 May 2026 9:12AM

West Asia war sends global air travel demand into decline as fuel costs surge
The escalating conflict in West Asia sharply weakened global passenger traffic in April 2026 - May 29, 2026

THE conflict in West Asia has triggered a significant downturn in global air travel demand, with the aviation sector recording its first notable contraction in months as airlines grapple with plunging passenger numbers, escalating fuel costs and mounting operational uncertainty.

According to the International Air Transport Association, total global passenger demand, measured in revenue passenger kilometres (RPK), fell 3.4 per cent year-on-year in April 2026, largely driven by the severe collapse of air travel across the Middle East.

The association said the impact of the regional conflict was so substantial that it erased growth recorded in other international markets.

Bernama reported that, however, when Middle Eastern operations were excluded from the calculation, global passenger demand still registered a modest 1.2 per cent increase compared with the same month last year, suggesting broader travel appetite outside the conflict zone remained relatively resilient.

The aviation industry body also reported that total global capacity, measured in available seat kilometres (ASK), declined 2.9 per cent year-on-year during April.

Despite the contraction, airlines managed to maintain relatively strong aircraft utilisation, with the global load factor standing at 83.1 per cent, although this represented a decline of 0.4 percentage points compared with April 2025.

International travel demand was hit particularly hard.

IATA said global international passenger demand dropped 5.3 per cent year-on-year in April, while capacity on international routes fell 5.1 per cent over the same period.

Excluding the Middle East region, however, international demand still expanded by 1.9 per cent, highlighting how the conflict disproportionately affected airlines operating within or connected to the Gulf region.

The international load factor stood at 83.9 per cent, down slightly by 0.2 percentage points from a year earlier.

Domestic travel markets showed greater resilience, with demand remaining broadly unchanged compared with April 2025.

Domestic capacity rose by 0.8 per cent year-on-year, although the domestic load factor slipped 0.7 percentage points to 81.9 per cent.

Willie Walsh said the scale of the downturn among Middle Eastern airlines had severely distorted overall global performance figures.

“The 46.6 per cent fall in demand for carriers in the Middle East due to war in the region was so acute that it dragged overall demand down by 3.4 per cent in April 2026,” he said.

Walsh warned that the aviation sector remains exposed to continuing geopolitical instability and rapidly escalating operational costs.

“The situation for air transport remains highly volatile, and the cost of jet fuel more than doubled in April, which is pushing airfares up,” he added.

He also noted that forward scheduling data suggests airlines are preparing for a prolonged period of weaker demand and elevated costs by scaling back future operations.

“Forward schedule data is showing a reduced offering in the coming months, indicating that airlines are balancing high fuel costs and weaker demand,” Walsh said.

The latest figures underscore growing concerns across the global aviation industry that the West Asia conflict could continue disrupting international travel flows, airline profitability and consumer demand well into the second half of 2026. - May 29, 2026

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