Airlines reviewing growth plans as war triggers fuel surges

US president insists operation was ahead of schedule, looks to shore up investors concerned about energy prices

- Bloomberg

Airlines in the Middle East are waiting to see when they might be able to return to regular operations.

(AFP)

Until last month, airlines couldn't get new aircraft fast enough, with both Airbus SE and Boeing Co. struggling to keep up with surging demand.

The 10-day war in Iran has upended that outlook, as carriers weigh the implications on travel demand, the cost of fuel and their ability to navigate hostile skies. Planemakers and aircraft leasing firms are worried that some of their customers may push back deals, according to people familiar with the matter.

Discussions on future aircraft deals and leasing contracts, which provide airlines with aircraft sooner than outright purchases, have been put on temporary hold as some carriers in the Gulf and farther afield in Asia face operational difficulties, said the people, who asked not to be identified as the talks were private.