Did Air India cut international flights on sky-high fuel costs? Carrier clarifies

Dubai: Did Air India suspend all international flights for three months because of soaring fuel prices? The airline says no — but it has reduced several overseas services as rising jet fuel costs and longer flight routes increase pressure on operations.

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The clarification came after reports and social media posts claimed the carrier had halted all international operations until July because of fuel shortages.

“Malicious and fabricated claims circulating on certain platforms alleging that Air India has cancelled all international flights are completely false and baseless,” Air India Newsroom said in a post on X.

Air India has, however, reduced several international services for three months starting June as higher fuel prices and longer flying routes pressure profitability on multiple long-haul sectors.

International routes reduced

The airline has suspended flights from Delhi to destinations including Chicago, Newark, Singapore and Shanghai as part of temporary operational adjustments.

Services to San Francisco, Paris and Toronto have also reportedly been reduced, while reports said nearly 100 daily flights across the network have been affected.

Air India Chief Executive Campbell Wilson said last week the airline would continue adjusting some international services amid higher fuel prices and geopolitical tensions.

The pressure on Indian carriers has intensified after the closure of Pakistani airspace forced several westbound flights onto significantly longer routes.

Oil shock raises airline costs

Flights headed to Europe and North America are now operating on extended flight paths, increasing fuel burn, crew costs and flight times.

Some North America-bound services have also begun making technical stops at Vienna and Stockholm because of the longer routes.

The operational strain has coincided with a sharp increase in global jet fuel prices.

Average jet fuel prices rose to $162.89 per barrel for the week ending May 8, 2026, compared with $99.40 per barrel at the end of February.

Fuel accounts for up to 40% of airline operating costs, making long-haul international carriers especially vulnerable during oil price spikes.

More restructuring pressures

The latest route reductions come as Air India continues a broader restructuring programme under the Tata Group.

According to reports, the Air India Group — including Air India Express — is projected to have posted losses exceeding Rs22,000 crore for the financial year ended March 2026.

The airline has already introduced cost-control measures including reduced discretionary spending, cuts to non-essential expenses and tighter internal compliance monitoring.

Wilson also reportedly told employees during a recent town hall that more than 1,000 staff members had been terminated over the past three years over misconduct and policy violations.