United Airlines plans to increase ticket prices by 15% to 20% during the upcoming summer travel season, shifting the burden of sharply higher jet fuel costs—driven by the war with Iran—onto passengers.

The move comes as strong travel demand continues, with customers still willing to pay premium prices, according to CEO Scott Kirby, who spoke Wednesday on CNBC.

Kirby noted that jet fuel—second only to labor as the airline industry’s largest expense—has doubled in price since the conflict with Iran began.

Despite those rising costs, United posted stronger earnings in the most recent quarter compared to the same period last year, surpassing analysts’ expectations on Wall Street.

During the first quarter, the airline managed to offset roughly 40% to 50% of its increased fuel expenses thanks to robust ticket demand, Kirby said.

United is also scaling back its flight schedule for the year as part of a broader effort to control expenses. With fewer available seats, reduced capacity is expected to push ticket prices even higher, according to reporting by CNBC.

In a separate interview with Bloomberg, Kirby said, “Demand is incredibly strong right now,” and expressed his view that elevated oil prices are unlikely to remain “higher for longer.”

{Matzav.com}