Flights grounded, fuel burning: Lufthansa’s 20,000 cut signals aviation crunch

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Las Vegas: Europe’s aviation sector is bracing for a prolonged fuel shock, with Lufthansa Group announcing plans to cut around 20,000 short-haul flights through October as the ongoing Iran conflict drives oil prices sharply higher and disrupts global supplies.

The airline group said the reductions, primarily affecting routes connected to its hubs in Frankfurt and Munich, are part of a broader cost-control strategy aimed at conserving fuel and protecting margins in an increasingly volatile energy market.

The move is expected to save roughly 40,000 tonnes of jet fuel. The disruption stems from escalating tensions around the Strait of Hormuz, a key global oil artery off Iran’s coast through which nearly a fifth of the world’s oil supply typically flows.

Continued fighting in the region has rattled fuel markets, sending jet fuel prices surging, more than doubling in some regions since late February.

Industry-wide fallout is already visible. According to aviation analytics firm Cirium, nearly all of the world’s top carriers, including Delta Air Lines, United Airlines, and Emirates, have trimmed scheduled flights for May across major global routes.

Within its own network, Lufthansa is accelerating consolidation. The group recently shut down its regional unit CityLine and is streamlining operations across multiple carriers, including Austrian Airlines, Brussels Airlines, SWISS, and ITA Airways, with hubs spanning Vienna, Brussels, Zurich, and Rome.

For passengers, the impact is already being felt. Fewer flight options and rising fares are emerging ahead of the peak summer travel season, with airlines increasingly passing on higher fuel costs through surcharges and additional fees.

Energy officials warn the turbulence may persist. The International Energy Agency has estimated that Europe has only about six weeks of jet fuel reserves under current conditions, raising concerns about deeper route cuts if supplies tighten further.

European authorities are also sounding the alarm over the economic toll. EU Energy Commissioner Dan Jorgensen has warned that the crisis is costing the region roughly €500 million daily, with potential impacts stretching for months, if not years.

Despite the uncertainty, Lufthansa says it has secured sufficient fuel supplies for the coming weeks and is taking additional steps to stabilise procurement ahead of the summer travel rush.

However, with fuel markets under sustained pressure and geopolitical risks mounting, the aviation industry