Iran war grounds 40,000 flights, sends fares up more than 70%
The Iran war has disrupted global aviation, with over 40,000 flights affected and fares rising more than 70%, adding pressure to Thailand’s tourism outlook
The conflict involving the United States, Israel and Iran is sending shockwaves through the global aviation industry, with widespread flight disruptions, soaring fuel costs and sharply higher airfares adding new pressure to airlines and travel demand.
According to Kasikorn Research Center, air routes linked to the Middle East are among the busiest in the world, handling around 20,000 flights a week, or about 8% of all international flights globally. The network covers key aviation markets including Jordan, Kuwait, Saudi Arabia, Qatar, the United Arab Emirates and Oman.
As tensions escalated from late February to mid-March 2026, more than 40,000 flights were cancelled or delayed, with total scheduled flights dropping from 564,779 to 524,779. The disruption has also affected major regional airports that normally handle at least 700,000 passengers a day, with Dubai International accounting for more than half of that traffic.
Thailand has not been directly drawn into the conflict, but its aviation sector has still been hit through international route networks. Between February 28 and March 18, more than 1,000 flights linked to Middle Eastern carriers serving Thailand were cancelled or delayed, especially at Suvarnabhumi and Phuket airports.
The crisis has also sharply increased airline operating costs. Jet fuel prices rose 76% within a matter of months, climbing from US$99.4 a barrel in late February to US$175 by mid-March, after standing at US$93.2 in early January. Airlines have increasingly passed those costs on to passengers, with average ticket prices rising by more than 70% and likely to remain elevated if the conflict continues.
Kasikorn Research said airlines face pressure on three fronts if the conflict drags on: higher operating costs that strain cash flow, more expensive fares that weaken travel demand, and the risk of tighter jet fuel supply.
The fallout could extend well beyond airlines. Thailand’s tourism industry, which relies heavily on international travel, may also feel the strain if long-haul demand weakens, particularly from Europe, the Middle East and Africa.
