United States airlines spent 56.4% more on jet fuel in March than they did in February, following the U.S.-Israel strikes on Iran.
According to the Department of Transportation, airlines spent US$5.06 billion on jet fuel during March 2026, up from $3.23 billion in February.
This is also a 30% jump from the $3.88 billion airlines spent on jet fuel in March 2025.
Fuel cost per gallon rose from $2.39 in February to $3.13 per gallon, after the war in Iran essentially closed the Strait of Hormuz, where around 20% of the world’s oil travels through.
It has since jumped even higher to around $4 per gallon in some markets during April as the war continues.
The Middle East conflict has caused airlines to lower or even scrap their 2026 forecasts altogether due to the rise in jet fuel, which is their biggest expense after labour.
Spirit Airlines even collapsed over the weekend, citing the surge in jet fuel costs as a factor that impacted its ability to emerge from bankruptcy.
However, booking trends show consumers are still travelling.
In March, travel agency ticket sales rose 12% from a year ago to $10.4 billion, with the number of domestic trips up 5% and international up 1%, according to the Airlines Reporting Corp.
