Sky-High Costs: Impact of Middle East Conflict on U.S. Air Travel

Fuel costs for U.S. airlines surged 85% in May due to Middle East tensions, reaching $6.7 billion, a significant hike from $3.62 billion in May 2025. Although jet fuel prices have decreased recently, airlines continue to grapple with high costs, impacting ticket prices and schedules.

Fuel costs for U.S. airlines soared by 85% in May to nearly $6.7 billion, spurred by the Middle East conflict that drove up prices, the U.S. Transportation Department reported on Monday. This marks a significant increase from the $3.62 billion spent in May 2025.

The cost per gallon of fuel in May reached $4.09, a jump of $1.88 compared to May 2025, according to USDOT. Recent weeks have seen a sharp drop in jet fuel costs as tensions between Iran and the United States eased.

In contrast, airfares have not decreased in tandem with the declining jet fuel prices. The surge in jet fuel costs prompted U.S. airlines to raise ticket prices and baggage fees while also curbing schedules, yet these measures have only partially addressed the rise in fuel expenses. Major carriers like Delta, United, American, and Southwest account for about 80% of U.S. domestic flights.