Air Canada has halted operations on six routes, including both domestic and cross-border flights, due to increased fuel costs driven by conflicts in the Middle East. The airline stated that jet fuel prices have doubled since the start of the Iran conflict, impacting the profitability of certain routes and flights, leading to their suspension as they are no longer economically viable. In response, Air Canada is making schedule adjustments and reducing flight frequencies.
Effective May 28, the route between Fort McMurray, Alberta, and Vancouver has been suspended domestically, while the Yellowknife to Toronto route will be suspended starting August 30. Service from Salt Lake City to Toronto will be temporarily suspended beginning June 30, with plans to resume in 2027, according to the airline. Flights from Toronto and Montreal to New York’s John F. Kennedy International Airport will also be temporarily suspended from June 1, with operations expected to resume on October 25. Additionally, the planned route from Guadalajara, Mexico, to Montreal has been suspended.
Air Canada assured that affected customers will be provided with alternate travel options. The airline mentioned that the overall impact on its planned capacity is approximately one percent of annual available seat miles. These adjustments come amidst a significant fuel crisis in the air travel industry, with fuel prices more than doubling due to ongoing conflicts, prompting airlines like WestJet to consolidate flights and reduce capacity.
The head of the International Energy Agency recently warned of potential flight cancellations in Europe if jet fuel supplies continue to be affected by the conflict in the Middle East. As airlines grapple with rising fuel costs, various measures such as fare increases and surcharges are being implemented to mitigate the financial impact. Despite some positive developments, including the reopening of the Strait of Hormuz, challenges in the aviation sector are expected to persist for some time.
