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IATA economist warns airlines face worsening pressure from high fuel costs and weaker purchasing power

IATA chief economist Marie Owens Thomsen says airline conditions could deteriorate if fuel prices remain elevated while consumers’ purchasing power declines. Carriers with stronger balance sheets are better positioned to withstand the pressure, but airlines have limited ability to offset higher costs by raising ticket prices.

2026-10-19T08:05:31.360015-07:00

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IATA economist warns airlines face worsening pressure from high fuel costs and weaker purchasing power

IATA chief economist Marie Owens Thomsen says airline conditions could deteriorate if fuel prices remain elevated while consumers’ purchasing power declines. Carriers with stronger balance sheets are better positioned to withstand the pressure, but airlines have limited ability to offset higher costs by raising ticket prices.

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IATA WSOC 2026 puts human expertise, training and resilience at the center of aviation safety

IATA’s World Safety and Operations Conference will examine how airlines can strengthen resilience as crises multiply and aviation becomes more dependent on sophisticated IT systems. The 2026 agenda also addresses AI and automation, emphasizing the training and human expertise needed to maintain safe operations.

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IATA appoints Saadia Zahidi as director general, succeeding Willie Walsh

The International Air Transport Association (IATA) has named World Economic Forum managing director Saadia Zahidi as its next director general, effective Nov. 1. She will succeed Willie Walsh, who relinquishes the role on July 31, making Zahidi IATA’s first female director general and first since 1985 without airline executive experience.

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EU proposes expanding ETS to flights within 5,000 km of the EEA, drawing backlash from IATA and environmental critics over extra

The European Commission’s proposal would extend the EU ETS to cover airline emissions from flights within 5,000 km of the EEA, effectively adding Middle East and North Africa routes. IATA rejects the plan’s extraterritorial scope, while environmental groups and low-cost carriers raise concerns about pricing and competitiveness.

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