US Airlines Raise Ticket Prices due to Growing Fuel Costs

US Airlines Raise Ticket Prices due to Growing Fuel Costs

Airlines 2022-03-30
US airlines plan to raise ticket prices and reduce traffic to soften the effects of growing fuel costs. According to FlightGlobal, it was stated by several executives of carriers at a conference held by JPMorgan on Tuesday, March 15th.

By the words of Glen Hauenstein, the president of Delta Air Lines, the company will have to raise one-way ticket prices by $15-20 to offset fuel costs. Besides, United Airlines reported it's reducing its traffic plan for 2022: the number of passengers carried will be reduced by almost 10% compared to 2019.

Nevertheless, all major carriers have improved their revenue forecasts for the first quarter of this year. Airline executives claim unprecedented growth in demand for tickets, which will help companies quickly and relatively easily overcome rising fuel prices.

Two months ago, a gallon of jet fuel in the United States cost an average of $2.11, according to the trade group Airlines for America. The price jumped to more than $4 a gallon last week but dropped to $3.11 on March 14th.

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