"We booked a family trip to Vietnam, then disaster struck"... Budget airlines cancel flights as fuel prices soar

[The Financial News] Geopolitical risks stemming from the Middle East are now affecting air travel. As the war between the United States and Iran pushes up oil prices and even jet fuel shortages emerge, some low-cost carriers (LCC) are suspending or scaling back scheduled flights.
On the 23rd, VietJet Air’s general agent in Korea announced that it would cancel some April flights on the Incheon–Vietnam routes (Nha Trang, Da Nang, Phu Quoc) and the Busan–Nha Trang route. Among these, all flights on the Incheon–Phu Quoc route will be suspended from April 8 to May 1.
VietJet Air explained, "As the war drags on, oil prices are soaring, creating an unbearable additional cost burden, and the supply of jet fuel within Vietnam is also unstable," adding, "We regret to inform you that we have no choice but to cancel flights under these circumstances." Earlier this month, the Vietnamese government warned airlines that jet fuel supplies could be disrupted and told them to prepare to reduce operations.
VietJet Air is not alone in this situation. As jet fuel shortages hit Southeast Asia and other regions that are key markets for low-cost carriers (LCC), there are growing concerns that flights could also be suspended in countries such as the Philippines. On the 24th, the South China Morning Post (SCMP) reported that Philippine President Ferdinand Marcos Jr. stated, "Flight suspensions due to jet fuel shortages are clearly something that can happen."
In South Korea as well, some LCCs have announced that they will not operate certain international routes. Aero K Airlines has said it will partially suspend four international routes — Cheongju–Ibaraki, Cheongju–Narita, Cheongju–Clark and Cheongju–Ulaanbaatar — from next month through June 23. Air Busan has also notified passengers that it will partially suspend three international routes next month: Busan–Da Nang, Busan–Cebu and Busan–Guam.
Industry officials believe rising jet fuel prices are a key factor behind these decisions to suspend flights. Since the closure of the Strait of Hormuz, the price of jet fuel has climbed to 197 dollars per barrel as of the 20th, according to the International Air Transport Association (IATA), up 12.6% from the previous week. In the Asia–Oceania region, prices reached 204.95 dollars per barrel, a 16.6% week-on-week increase and a 136.1% surge compared with the same period a year earlier.
bng@fnnews.com Kim Hee-sun Reporter