Air India has reduced fuel surcharges on select long-haul international routes following a moderation in global jet fuel prices, becoming the first Indian airline to lower the additional levy amid easing fuel costs, according to
Lower surcharge for Europe, North America and Australia
Air India has reduced the fuel surcharge per passenger on flights to Europe to USD 125 from USD 205 in April. For flights to North America and Australia, the surcharge has been lowered to USD 200 from USD 280
According to in fuel surcharge on international routes so far
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The reduction is expected to make travel to Europe, North America and Australia slightly more affordable for passengers, particularly on long-haul international flights
Fuel costs had surged sharply earlier this year
The airline’s decision follows a period of steep increases in global jet fuel prices earlier this year that significantly raised operating costs for airlines worldwide
The global average jet fuel price climbed to USD 195.19 per barrel for the week ending March 27, 2026, nearly doubling from USD 99.40 per barrel at the end of February—an increase of almost 100 per cent
At the same time, A, produced by refining crude oil, saw a sharp rise in refinery margins, commonly referred to as the crack spread
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The crack spread nearly tripled within three weeks, increasing from USD 27.83 per barrel for the week ending February 27 to USD 81.44 per barrel for the week ending March 27
The simultaneous rise in crude oil prices and refinery margins created one of the most challenging fuel cost environments for airlines globally in recent years
Industry likely to watch Air India’s move
With international jet fuel prices now moderating from their March peak, Air India has passed on part of the savings to passengers travelling on long-haul international routes
The airline’s decision is expected to be closely watched across the aa similar reduction in fuel surcharges for international flights
Air India’s move is expected to make long-haul travel slightly more affordable while the broader argy prices
