Iran War Fuel Crisis Shakes Aviation: THY Leads Capacity Cuts

The global aviation sector is in the midst of a fuel crisis triggered by the Iran war. Jet fuel prices have doubled, forcing many airlines to remove thousands of seats from their flight plans. Rising operating costs combined with a decline in passenger demand are tightening airlines’ profitability profiles. Turkish Airlines (THY) has emerged as one of the firms cutting capacity the most in this challenging environment. The drop in passenger numbers required swift implementation of cost‑control measures to offset revenue losses. While THY reduces flight frequencies to optimize fuel consumption, it also strives to maintain flight safety and service quality. Capacity management has become a critical strategic tool for airlines during crisis periods. THY’s move was taken within a risk‑management framework to preserve competitive advantage and ensure financial sustainability. Continued volatility in fuel prices keeps the sector’s future performance uncertain. This is not investment advice.