
High kerosene prices are putting a strain on the aviation industry. Flight customers will face noticeable price increases in the coming year, as Lufthansa and Ryanair confirm.
AI-generated summary
High jet fuel prices traditionally weigh on airline margins, forcing companies to adjust prices.
The persistently high price of kerosene is likely to continue to burden the industry - and thus customers - in the coming year. However, this has probably not had a major impact on demand so far.
Frankfurt. Like the low-cost airline Ryanair, Lufthansa is expecting a double-digit increase in ticket prices next year due to the persistently high price of kerosene. “Ticket prices will rise in double digits next year, we see it that way too,” said Lufthansa boss Carsten Spohr on Tuesday.
There was already a double-digit increase in the fourth quarter of this year. “We also need them to implement the increase in kerosene costs.” CFO Till Streichert added that demand is currently robust despite the increases.
The network airlines could therefore have passed on 85 percent of the increase in fuel costs to customers through prices in the third quarter, and the Lufthansa subsidiary Eurowings could even have passed on the entire cost.
Ryanair boss Michael O'Leary recently stated that the airline would actually have to increase its prices by 20 percent to absorb the increase in costs. However, this extent probably cannot be achieved on the market.
More: Premium customers save Lufthansa's quarter
AI outlook — possibilities, not facts
Double-digit increase in ticket prices next year
Likely · Within months

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