PATTAYA, Thailand – Thai Airways is rolling out short-term measures to cope with soaring jet fuel prices triggered by unrest in the Middle East. CEO Chai Eiamsiri revealed that the cost of jet fuel has jumped from around $80 to $220 per barrel, forcing the airline to gradually raise ticket prices by 10–15%.
The airline has also purchased 50% of its fuel needs in advance through hedging for the next six months, while waiting for approval from the Civil Aviation Authority of Thailand (CAAT) to adjust fuel surcharges. Chai emphasized that the price increases are cost-driven, not opportunistic, and aimed solely at covering operating expenses to keep the airline afloat.
Thai Airways is also implementing cost-cutting measures, postponing non-urgent investments and optimizing use of existing equipment at airports. Decisions on new aircraft leases remain on schedule but are being carefully considered to avoid unnecessary financial risk.
The airline’s board will meet this week to review the Middle East crisis, fuel price impact, and passenger trends. Contingency plans include potential reductions in flight frequency, temporary closures of some routes, and delayed investments if the situation does not improve by May. The company holds approximately 120 billion baht in cash reserves to weather uncertainty.
Passenger confidence has been cautious, particularly for long-haul routes to Europe and Australia. Early Songkran bookings in April 2026 are slightly below last year’s levels, though charter flights to Paris and Frankfurt in March have helped ease demand.
Chai called on the government to continue supporting Thailand’s role as a regional aviation hub, leveraging the national carrier to strengthen the country’s aviation industry.
