US Jet Fuel Hits Record High as Airfares Rise 32%
The average US jet fuel price hit a record high of $4.37 per gallon in September, while domestic airfares rose about 32% year-on-year.
The average price of jet fuel in the United States reached $4.50 per gallon, after the monthly average hit $4.37 in September, a record high exceeding April's level of $4.29, according to Argus Media data published by Airlines for America.
Domestic airfares in the United States rose by about 32% year-on-year, according to data from the travel booking platform Kayak.
Melius Research analyst Conor Cunningham warned that further sharp price increases "could test demand" for air travel.
Jet fuel is one of the largest operating cost items for airlines, making its record levels a major factor influencing flight costs and ticket prices.
What do these terms mean?
Jet fuel: A type of kerosene used to power jet engines, and one of the largest cost items for airlines.
Gallon: A unit of volume measurement used in the United States, equivalent to approximately 3.785 liters.
Operating cost: The expenses incurred by an airline to run its flights, most notably fuel, crew, and maintenance.
Air travel demand: Passenger eagerness to purchase tickets, measured by the number of flights and passengers during a given period.
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