IATA in Rio flags Iran war, higher fares, aircraft delays

Business Jun 06, 2026

At the big International Air Transport Association (IATA) summit in Rio, airline leaders are facing some tough issues.
The Iran war has pushed up fuel prices and messed with flight routes, so airlines have had to bump up ticket prices and cut back on flights.
On top of that, delays from Boeing and Airbus mean airlines are stuck using older planes that cost more to run.

IATA $41B 2026 forecast now uncertain

IATA's earlier $41 billion profit forecast for 2026 is now up in the air as airlines deal with rising costs and inflation.
Even so, travel demand, especially in the US is holding strong, with domestic fares jumping nearly 40% compared to last year.
But higher prices could make it harder for budget travelers or folks in weaker economies to keep flying.