Former New Hampshire governor Chris Sununu, now president of the airline lobby group Airlines for America, warned Treasury Secretary Scott Bessent in Washington that soaring jet‑fuel costs could push already‑high airfares even higher. Sununu told officials the price spike stems from the ongoing conflict in Iran, and that a swift end to hostilities is essential to prevent further erosion of airline margins.

Airlines for America has been ringing the alarm for weeks, citing that jet‑fuel prices have risen sharply since the Middle East crisis intensified in early March. Higher fuel bills translate into $200‑$300 per barrel added to operating costs, squeezing profit forecasts for carriers already grappling with capacity constraints and lingering pandemic‑era debt. The surge also narrows the gap between legacy carriers and low‑cost rivals.

Investors are watching the dialogue because any escalation could force airlines to raise ticket prices, risking demand downturns on price‑sensitive routes. Regulators may feel pressure to intervene, but Treasury officials have signaled limited appetite for subsidies. With fuel accounting for roughly 30 % of airline expenses, the dispute’s resolution will directly shape earnings reports due this quarter. Thus, quarterly profit margins could dip below analyst expectations.