Air India to Cut Nearly 100 Flights Till July Amid Rising Fuel Costs and Route Disruptions

New Delhi, May 02: Air India is set to reduce nearly 100 domestic and international flights through July as soaring jet fuel prices and ongoing airspace restrictions make several routes financially unviable.

CEO Campbell Wilson informed employees that while some international operations had already been scaled down in April and May, worsening conditions have forced the airline to extend cuts into June and July. He cited a sharp increase in fuel costs, combined with longer flight routes due to restricted airspace, as key reasons behind the decision.

The airline, which operates around 1,100 flights daily, will scale back services to major international destinations including Europe, North America, Australia, and Singapore. Airspace disruptions linked to geopolitical tensions have compelled airlines to reroute flights, increasing travel time and fuel consumption.

Wilson acknowledged the challenges, stating that the current environment has left the airline with limited options but to reduce schedules further. He also expressed hope that stability returns soon, particularly with regard to tensions around the Strait of Hormuz, a crucial global oil transit route.

The move comes at a time when the airline is already under financial strain. The Air India Group is estimated to have recorded losses exceeding Rs 22,000 crore for the financial year ending March 2026.

The broader aviation sector is also feeling the impact of rising fuel prices. Global jet fuel costs have surged sharply in recent months, driven by geopolitical tensions, including actions by Donald Trump related to Iran, which have raised concerns about disruptions in global oil supply chains.

Higher crude oil prices have also put pressure on India’s oil marketing companies, as they struggle to manage rising input costs while retail fuel prices remain largely unchanged. Industry experts suggest that if elevated prices persist, companies may need either government support or price hikes to offset losses.

For now, airlines like Air India are focusing on cost control measures, with flight reductions emerging as a necessary step to manage the ongoing volatility.