Air India has reduced frequencies on select international routes for the next three months amid rising jet fuel prices and ongoing geopolitical disruptions, according to sources.
The airline, however, strongly denied reports claiming that it had suspended all international flights until July due to fuel shortages, calling the speculation “malicious” and “completely false.”
In a statement posted on X, Air India clarified that its international operations continue to function normally and that no blanket cancellation of overseas services has been announced.
The development comes as the aviation sector faces mounting operational pressures linked to global geopolitical tensions and escalating fuel costs.
Last week, Air India Chief Executive Officer Campbell Wilson addressed employees during a town hall meeting alongside Chief Human Resources Officer Ravindra Kumar GP and Chief Financial Officer Sanjay Sharma, highlighting the external challenges currently affecting the airline industry.
According to sources, Wilson pointed to the continued closure of Pakistani airspace, disruptions across West Asia caused by geopolitical conflicts, the depreciation of the Indian rupee and a steep rise in aviation turbine fuel prices as key concerns impacting Air India’s international operations.
Jet fuel prices, a major component of airline operating expenses, have reportedly increased between 2.5 to 3 times, significantly raising operational costs for long-haul flights.
Wilson also stressed the need for tighter financial discipline across the airline.
“We need to focus relentlessly on our costs in these tough times,” he said during the meeting.
He urged employees to reduce discretionary spending, renegotiate vendor rates where possible and defer non-essential expenses, while continuing efforts to improve customer experience and Net Promoter Scores (NPS).
Sources further said that CHRO Ravindra Kumar GP informed employees that Air India would continue with variable pay payouts for the previous financial year and proceed with planned promotions despite the challenging operating environment.
