Gulf airline group and holdings in the United Arab Emirates
The United States has carried out repeated air and naval strikes across Iran since mid‑July, including attacks on coastal surveillance, air defences and transport links, while Iran has launched missile and drone strikes on US bases and Gulf allies and warned it will retaliate further. The fragile June memorandum to pause the war has largely collapsed and the Strait of Hormuz remains disrupted (19 July 2026).
The Guardian and other outlets report that President Trump has postponed a planned attack on Iran at the request of Gulf rulers, while signaling readiness to resume with a larger strike if negotiations fail. Officials note ongoing talks and a possible deal that would block Iran’s nuclear ambitions, but there is no immediate ceasefire breakthrough.
Lebanon’s Middle East Airlines remains under scrutiny as a safety audit probes pilot concerns about flying near conflict zones and wage-driven incentives. Regulators say compliance is intact, while pilots flag risks amid broader regional turbulence.
Oil flows through key Gulf routes have been disrupted as conflicts escalate. Countries are adjusting production and trade, while insurers assess risk. The Strait of Hormuz remains the focal point as sanctions’ adjustments and new toll discussions surface amid regional tensions.
Airlines face higher fuel bills as Middle East tensions push jet fuel prices up. IATA forecasts profits will halve in 2026 while fares rise to cover costs; some carriers warn of tougher times ahead as demand stays resilient.
Global airlines face a sharp rise in jet-fuel costs as conflict in the Middle East pushes up oil prices. IATA now forecasts profits will fall sharply in 2026, driving airlines to raise fares and adjust routes while governments seek safety measures.
Saudi Arabia is expanding Riyadh Air as part of Vision 2030, aiming to turn the capital into a global aviation hub and reduce reliance on oil. The first Dreamliner deliveries have begun, with a plan to connect Riyadh to over 100 destinations and boost passenger capacity while expanding airport capacity to support this growth.
Qantas has unveiled modified A350-1000ULR jets for ultra-long direct routes from Sydney to London and New York. The airline plans to start selling tickets in February and launch flights in October 2027, aiming to cut travel time and boost premium cabins. The planes feature extra fuel tanks and a four-cabin layout, with a focus on passenger health and comfort over journeys up to 22 hours.
Airlines are expanding unbundled premium fares and no-middle-seat options across fleets, as carriers push for higher revenue from premium travelers. United, Delta and others are rolling out basic business, no-middle-seat rows, and other unbundled options, while critics warn this may widen the cost gap for flyers.
Oman is exploring a tolling approach for the Strait of Hormuz while navigating international law, amid US opposition and regional pressure. Reports show ongoing transits and ongoing diplomacy as the crisis evolves.
The United Arab Emirates is pursuing a new port and container terminal on Fujairah’s east coast to reduce dependence on Jebel Ali and avoid the Strait of Hormuz. DP World is in talks to develop the site, with plans for a new multipurpose port and a terminal at the existing harbour, amid ongoing clashes linked to Iran’s attacks and U.S. and Israeli actions. Experts say the move signals a push for regional resilience as shipping routes face disruption.