Thai aviation sector faces pressure as airlines reduce flights worldwide

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Airlines worldwide are cutting flight frequencies and adjusting schedules as high fuel prices and weak low-season demand squeeze the aviation industry.

PATTAYA, Thailand – Civil Aviation Authority of Thailand (CAAT) says airlines around the world are gradually adjusting flight schedules and reducing frequencies as soaring jet fuel costs and weaker low-season demand continue to pressure the global aviation industry. Thai aviation regulators said they are closely monitoring the impact of rising Jet A-1 fuel prices following ongoing tensions in the Middle East, despite signs that crude oil prices in global markets have started to ease. According to CAAT, aviation fuel prices remain significantly elevated due to tight supply conditions, refinery disruptions in the Middle East, and logistical bottlenecks affecting fuel transportation into Asia.



Authorities noted that fuel remains one of the largest operational costs for airlines, while the May-to-September low tourism season traditionally sees weaker passenger demand, prompting carriers worldwide to streamline operations and reassess route profitability. Many airlines have already begun adjusting schedules, reducing flight frequencies on selected routes, and managing capacity more carefully to balance rising operating costs with passenger numbers. To ease pressure on the aviation sector, CAAT said it is coordinating with aviation agencies under Thailand’s Ministry of Transport, including Aeronautical Radio of Thailand and Department of Airports, to explore measures aimed at lowering airline operating costs and maintaining essential flight services.

The Airlines Association of Thailand has also proposed temporary excise tax relief on aviation fuel to help airlines manage short-term financial pressure and reduce the impact on passengers.

Meanwhile, CAAT has instructed airlines to strictly comply with passenger protection regulations, particularly regarding advance notification of schedule changes, refunds, and alternative travel arrangements. Authorities added that airlines are being encouraged to cooperate on passenger transfers between carriers to reduce disruption as the industry navigates mounting fuel and economic pressures.