Airfares across the Asia-Pacific region may remain elevated as airlines adjust to rising fuel prices and increased operational costs, the head of the Association of Asia Pacific Airlines stated on November 13, 2026. Wong Hong, the association’s director-general, expressed concerns that high ticket prices could become a lasting aspect of the travel market.
Wong noted that the airline industry is currently operating under very different financial conditions compared to the previous year, with jet fuel prices now approximately $180 per barrel, up from around $80. He emphasized that fuel accounts for about one-third of airlines’ operating costs, increasing the risk of higher fares impacting financial performance.
He acknowledged that airlines are striving to manage fare levels responsibly while maintaining financial health, indicating a delicate balance between keeping prices reasonable and discouraging passenger travel due to high costs. “There’s no clear answer,” Wong said in response to whether airlines would consider further fare increases if fuel prices remain high, citing variability in passenger price sensitivity across different markets.
The association’s comments come in the context of a broader trend where major carriers have implemented increased base fares, raised fuel surcharges, or added fees. This shift has been observed across the Asia-Pacific, Europe, and North America since the onset of the Iran war in late February.
Passenger traffic in the Asia-Pacific region showed a decline for five consecutive months from April to August, although there was a slight rebound in September. Despite this downturn, overall regional passenger traffic still saw a rise of 1.9% during the first nine months of the year.
Wong also highlighted ongoing challenges for airlines, such as delays in aircraft deliveries and the rising costs associated with maintaining older fleets. Despite these hurdles, he indicated that the airlines have shown resilience and that consumer demand for travel remains strong. The situation presents airlines with the challenge of finding the right pricing strategies in various markets amidst the pressures of increased fuel costs.
The aviation industry will continue to monitor fuel prices and passenger demand as it adapts to these market conditions in the coming months.
