Asian airlines slash flights from April as jet‑fuel crisis bites
Asian airlines are cutting flights heavily from April 2026 as a spike in jet‑fuel prices pushes the region toward what analysts are calling the worst aviation crisis since the pandemic. The war between the United States, Israel and Iran, along with disruptions to oil flows through the Strait of Hormuz, has sent aviation fuel costs soaring, forcing carriers to cancel routes, ground planes and raise fares.
According to the International Air Transport Association (IATA), the global average price of jet fuel jumped to 197 dollars per barrel for the week ending March 20, 2026, compared with 95.50 dollars a month earlier. For some airlines, the cost has more than doubled versus 2025 levels. Fuel typically accounts for about a quarter of an airline’s operating costs, so this surge squeezes profits and forces network cuts.
Vietnam and India lead the cutbacks
Vietnamese carriers are among the most affected. Vietnam Airlines will suspend seven domestic routes from April 1, dropping about 23 flights per week on routes such as Hai Phong–Buôn Ma Thuột, Hai Phong–Cam Ranh, Hai Phong–Phu Quoc, Hai Phong–Cần Thơ, Ho Chi Minh–Van Don, Ho Chi Minh–Rạch Giá and Ho Chi Minh–Điện Biên. Vietnam’s Civil Aviation Authority warns that domestic capacity could fall by up to 26 percent if fuel stays between 160 and 200 dollars per barrel.
The low‑cost VietJet Air plans to reduce its overall capacity by 18 percent, while Bamboo Airways expects to cut its daily flights almost in half, from 36 to about 17. Vietnamese airlines are also preparing fuel surcharges on international routes, as authorities flag a risk of jet‑fuel shortages from April after China and Thailand halted exports.
In India, the summer schedule regulated by the Directorate General of Civil Aviation (DGCA), which begins March 29, will see nine airlines operating about 2,561 fewer domestic flights per week than in 2025 a 10 percent drop versus last year’s 25,610 weekly flights. Major carriers such as IndiGo and Air India are trimming capacity to absorb the higher fuel bill, adjusting frequencies and network structures.
Philippines, Pakistan and wider regional impact
Further afield, the crisis is spreading across the region. Philippine President Ferdinand Marcos Jr. told Bloomberg that grounding aircraft due to fuel shortages is a “real possibility.” Cebu Pacific has announced temporary network adjustments from April, suspending or cutting frequencies on routes to Singapore, Kuala Lumpur, Bangkok and Australia. Philippine Airlines has also signaled schedule changes for April and May as it prioritizes more profitable routes.
Pakistan’s aviation sector has already suffered losses of about 72 million dollars since the conflict began, with more than 600 flights disrupted, according to a spokesperson for the Pakistan Airports Authority cited by Arab News. Traditional corridors linking South Asia to Europe and the United Arab Emirates have been rerouted, adding distance and fuel to many flights.
Broad‑based fare hikes across Asia
To offset the higher fuel costs, airlines across the region are raising prices. Cathay Pacific doubled its fuel surcharges from March 18, taking long‑haul surcharges up to about 149.20 dollars per sector, a 105 percent increase, and then announced a further 34 percent hike from April 1. Thai Airways expects overall fares to rise by 10–15 percent, while AirAsia has temporarily jacked up ticket prices and surcharges.
A survey by Vietnam’s aviation authority found that more than 60 percent of airlines in the country are introducing fuel surcharges or price increases ranging from 5 to 20 percent. Region‑wide, these adjustments are squeezing passengers while compounding the financial strain on airlines already facing higher operating expenses.
Analysts warn that if the conflict continues and fuel prices remain elevated, the crisis could last for weeks or even months. Asfar Malik, a former Pakistani aviation regulator turned consultant, said airlines could face “prolonged financial stress,” which may force deeper structural changes to regional networks, more permanent capacity cuts, and stronger hedging strategies to protect against future price shocks.
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