Fuel Prices Surge: Airlines Cut Flights and Prepare for Fare Hikes

Rising global oil and jet fuel prices are putting heavy pressure on air carriers. United Airlines, for instance, plans to cut approximately 5%*of its flights, primarily targeting less profitable and overnight routes, while also reducing service to certain destinations.

Companies are bracing for a potential scenario where oil could hit $175 per barrel, which would drastically increase fuel expenses. If prices reach this level, airfares are expected to skyrocket, leaving virtually no budget options available on the market.

Reported by Israel Railways Economic and financial news in Israel