Jet fuel prices are surging worldwide as the Iran war disrupts Middle East exports, with European prices hitting their highest levels since 2022. According to General Index data, prices in Europe, the US, and Asia have reached multi-year highs, climbing faster than crude oil amid Middle East conflict. The European Union's aviation fuel market faces particular risk as half of its jet fuel imports pass through the Strait of Hormuz.

Energy markets have been shaken since the conflict began, with gas, diesel, and aluminum prices also climbing alongside soaring freight costs. Indian refiner Mangalore Refinery and Petrochemicals Ltd. has suspended oil-product exports due to disrupted crude shipments from the Persian Gulf. The shipping industry views US insurance guarantees and potential naval escorts as only a partial solution to the crisis.

Northwest Europe's jet fuel premium to crude oil hit a record high of more than $70 a barrel, while Asia's differential between jet and diesel-type fuels reached its widest since 2023. These massive price increases threaten to filter through to consumer prices, creating tension with the US administration's pro-growth, anti-inflation agenda. The aviation industry faces both longer routes and tightening global supply as the conflict continues to disrupt crucial shipping routes.