French flights set to be impacted by United Airlines price hike
Tickets may rise by up to 20% as jet fuel price increases passed onto customers
Share prices in the company fell following the announcement
Travers Lewis/Shutterstock
United Airlines is set to hike ticket prices by up to 20% on many of its routes to deal with rising jet fuel prices, including those to France.
CEO of the US airline Scott Kirby said that 100% of the cost of increased kerosene (jet fuel) prices would be passed onto consumers, in order to allow the airline to respond “as quickly as possible” to rising costs without impacting the airline’s routes.
Price rises would gradually begin to impact flights, leading to overall increases of between 15% to 20% if the war in the Middle East continued.
Mr Kirby made the announcement in a company-wide earnings call, following which stocks dropped by around 6%.
However, the airline has seen demand remain steady despite the crisis. In line with competitors Delta and American, it already increased baggage costs to compensate for rising costs.
United currently offers flights to Paris and Nice from the US, with the airline offering daily flights to Charles de Gaulle from a number of major US cities including New York, Chicago, and San Francisco.
Last year, it also began operating flights four times a week between Nice and the US capital Washington DC.
It comes amid concerns in Europe of travel disruption this summer, including rising prices and possible cancellations due to a jet fuel shortage.
Head of Ryanair Michael O’Leary said this week that his airline only has jet fuel supplies guaranteed until the end of May, warning that it may need to cut flights from its peak season schedule if the conflict in the Middle East continues.
