US Airlines Confront Market Shakeout Amid Surging Fuel Costs and Oil PricesImpact of Rising Oil Prices on US AirlinesBy Rajesh Kumar SinghCHICAGO, March 30 (Reuters) - When United Airlines CEO Scott Kirby wrote to employees about the oil price surge earlier this month, the most telling line was not about fuel bills or flight cuts. If fuel prices stay elevated, he wrote, it could create a chance "to buy assets, absorb network changes, etc." Kirby said the airline is modeling Brent oil as high as $175 a barrel and remaining above $100 through 2027. Pressure Points Among Weaker AirlinesJetBlue and Frontier's StrugglesWHERE PRESSURE BUILDS FIRSTIf high fuel prices last, pressure is likely to build first at airlines where margins are already thin and turnarounds remain unfinished. J.P. Morgan analysts said sustained high fuel prices could speed a shakeout among weaker low-cost carriers, ultimately improving the outlook for larger brand-loyal airlines after 2027.

Source: Economic Times March 30, 2026 16:10 UTC