Air India will reduce international flights till July. The Indian aviation company said that the reduction of flights comes after airspace curbs and a surge in jet fuel prices have made many routes unprofitable.
Air India CEO and Managing Director Campbell Wilson on Friday said, “We have reduced some flying for April and May…massive rise in jet fuel prices which, together with airspace closures and longer flying routes, has caused many of our international flights to become unprofitable to operate,” as per PTI.
Air India cites airspace restrictions for reducing international flights
Airspace restrictions in the wake of the West Asia conflict have forced the airline to take longer routes for many international destinations, resulting in increased fuel burn.
Wilson, who has announced plans to step down later this year, said that the airspace and jet fuel price situation remains extremely challenging.
CEO Wilson further highlighted that the situation leaves Air India with no choice but to further trim schedules for June and July.”
He further added, “We very much regret the disruption to our customers` plans and our crew`s rosters and hope that the Middle East situation settles – and the Strait of Hormuz opens – soon so that we can get back to a more normal state,” as cited by PTI.
Air India incurred a Rs 22,000 crore loss in 2025-26
Air India Group is estimated to have incurred over Rs 22,000 crore losses in the financial year ended March 31, 2026. Following the financial crisis, the airline also had discussions with its key shareholders to secure additional funding. While the exact amount of capital infusion is not yet decided, reports suggest that the expected support may still fall short of what the airline needs.
Fundraising talks with key shareholders
The airline has approached its major stakeholders, including Tata Group and Singapore Airlines, for financial support. These talks come at a crucial time as Air India continues its transformation journey under Tata Group ownership.
According to reports, the airline is exploring ways to stabilise its finances and continue operations smoothly despite mounting losses. The situation has been further complicated by leadership developments. Air India CEO Campbell Wilson has announced plans to step down later this year, creating some uncertainty during a critical phase for the airline, as per the news agency.