Finance
Airline SAS hikes prices on higher jet fuel cost following iran war
Published by Global Banking & Finance Review®
Posted on March 10, 2026
1 min readLast updated: March 10, 2026
Quick Summary
SAS has introduced a temporary fare increase due to a sharp rise in jet fuel costs triggered by the Iran war and closure of the Strait of Hormuz, as oil prices briefly surged nearly 29% to over $100 per barrel before easing.
SAS Increases Fares Amid Surging Jet Fuel Costs Linked to Iran War Crisis
SAS Responds to Rising Operational Costs
Impact of Iran War and Strait of Hormuz Closure
COPENHAGEN, March 10 (Reuters) - Scandinavian airline SAS said on Tuesday it had temporarily increased prices due to rising jet fuel costs as the Iran war and the closing of the Strait of Hormuz drove up oil prices.
Oil Price Surge and Market Reaction
The price of crude surged as much as 29% on Monday to their highest since mid-2022 but have since declined.
SAS’s Temporary Price Adjustment
A SAS spokesperson said the company had introduced a temporary price adjustment due to the unusually rapid and significant increase in jet fuel costs.
"Although we always try to absorb cost fluctuations where possible, increases of this magnitude make it necessary to respond in order to maintain stable and reliable operations," he added.
(Reporting by Stine Jacobsen, writing by Louise Rasmussen, editing by Terje Solsvik)
Key Takeaways
- •SAS raised prices to offset unprecedented jet fuel cost spikes amid Iran conflict and Hormuz closure.
- •The Strait of Hormuz, through which ~20% of global oil transits, was effectively blocked—causing crude to surge over $100/barrel.
- •Goldman Sachs and other analysts estimate risk premiums of $14–18 per barrel, and jet fuel is heavily impacted—especially for European routes passing Hormuz—
Frequently Asked Questions about Airline SAS hikes prices on higher jet fuel cost following Iran war
1Why did SAS increase its ticket prices?
SAS temporarily raised ticket prices due to sharply rising jet fuel costs driven by the Iran war and closure of the Strait of Hormuz.
2How much did oil prices increase following the Iran conflict?
Oil prices surged as much as 29% on Monday, reaching their highest level since mid-2022.
3Is the price hike by SAS permanent?
No, SAS stated the price hike is a temporary adjustment due to the unusually rapid increase in jet fuel costs.
4What did SAS cite as reasons for the increased operational costs?
SAS cited the Iran war and the closing of the Strait of Hormuz as key factors driving up oil and jet fuel prices.