The German parent company of Lufthansa Airlines and several other European carriers on Tuesday announced it will cut 20,000 short-haul flights through October, citing rising oil prices linked to the war with Iran and growing concerns over jet fuel shortages in some countries.
The Lufthansa Group said reducing less profitable routes, mainly those operating from its Frankfurt and Munich hubs, will save around 40,000 metric tonnes of jet fuel.
Last week, the company shut down one of its regional subsidiaries, CityLine, as part of broader cost-cutting efforts. It also said a planned consolidation within its European network will involve Lufthansa Airlines, Austrian Airlines, Brussels Airlines, SWISS and ITA Airways, along with hubs in Brussels, Rome, Vienna and Zurich.
Since late February, when the US and Israel launched strikes on Iran and triggered the current conflict, jet fuel prices have more than doubled in some markets. Airlines remain highly sensitive to fuel price volatility, as jet fuel is one of their largest operating costs.
For passengers, this is already resulting in fewer flight options on some routes and higher fares and fees as the peak summer travel season approaches. Many carriers have responded by increasing checked baggage fees or introducing fuel surcharges.
