European airports brace for possible jet fuel shortages

European airports could experience jet fuel shortages within three weeks if trade flows through the Strait of Hormuz are not fully restored, News.Az reports, citing the Financial Times.

FT, citing a letter sent by Airports Council International Europe (ACI Europe) to officials of the European Commission, reported that the organization has warned the EU about rapidly declining jet fuel reserves across the aviation sector.

The letter stated that airports across Europe could face what it described as a “systemic shortage” of jet fuel unless maritime and trade flows through the Strait of Hormuz return to normal conditions within a three-week period.

Following the outbreak of the US-Israel-Iran war on February 28, disruptions to maritime traffic in the Strait of Hormuz have significantly impacted the supply of approximately 15 million barrels per day of crude oil and around 5 million barrels per day of refined petroleum products that normally pass through this strategic chokepoint.

These supply restrictions have driven jet fuel prices in Europe to record levels, more than doubling compared to pre-war prices.

Data from the International Air Transport Association (IATA) shows that the global jet fuel index increased by 110%, rising from $99.4 per barrel on February 27 to $209 on April 3.

In addition, the cost, insurance, and freight (CIF) price of jet fuel in Northwest Europe climbed further, reaching $216.9 per barrel.

News.Az 

By Nijat Babayev