Overview
- Qantas, which updated markets Tuesday, cut domestic flying by about 5% and lifted its second-half fuel bill to A$3.1–3.3 billion as refining margins it cannot hedge spiked to about US$120 a barrel.
- Virgin Australia disclosed Wednesday it will trim capacity by 1% through June and expects a A$30–40 million fuel hit, with fares set to move higher to offset costs.
- Virgin Atlantic added fuel surcharges of £50 in economy, £180 in premium, and £360 in business, and its chief executive warned ticket prices could climb further if jet fuel stays elevated.
- Australia’s energy minister said stocks cover the near term with 28 days of jet fuel and 57 ships en route, yet spot cargo prices near US$140 and IATA’s near‑US$198 jet benchmark signal tight supply and ongoing risk.
- Travelers face selective cancellations and rerouted planes, with Qantas axing low‑demand regional services and shifting aircraft to Europe where demand has strengthened.