Middle East war, fuel crisis to halve airline profits in 2026 – IATA

The International Air Transport Association (IATA) forecasts that global airline profits will fall from $45 billion in 2025 to $23 billion in 2026, halving year-on-year. War-related disruptions in the Middle East and a 70% surge in jet fuel prices are the main drivers. Middle Eastern carriers are expected to slip into losses, while other regions remain profitable but with compressed margins of 2%. IATA Director General Willie Walsh noted that net profit per passenger will drop to $4.50, half of last year's level.