Lufthansa announced Tuesday that it will cancel 20,000 unprofitable short-haul flights through October to save on jet fuel. These flights, operated by several of the group's airlines and mostly its regional carrier CityLine, will result in a 1% reduction in passenger capacity.
The decision comes as the US-Israel war with Iran sends jet fuel prices soaring. Global prices have jumped more than 70 percent since the start of the war, while costs for Lufthansa have doubled. The situation is exacerbated by the closure of the Strait of Hormuz, which impacts Europe, the largest consumer of jet fuel shipped through the region.
The first 120 cancellations were implemented on April 21, with more reductions expected in the coming weeks. Lufthansa is the latest airline to cut flights amid these fuel shortages.
Experts warn that further cancellations and price hikes are on the way as the impact of the fuel shortages continues to burn.