Airline ticket prices soar on Asia-Europe routes after Gulf airport closures

The price of flights between Asia and ​Europe has soared after the closure of key Middle Eastern hubs due to the US-Israel war against Iran, with airline websites showing tickets ‌on many popular routes booked out for days.

Major Gulf hubs, including the world's busiest international airport Dubai - which normally handles over 1,000 flights a day - remained closed for a fourth day today (3 March), slashing capacity on popular routes like Australia to Europe, where Emirates and Qatar Airways normally have a high market share.

Australia's Flight Centre Travel Group has experienced a 75% increase in calls to ​its stores and emergency assistance lines since the crisis began and has teams working around the clock to help disrupted customers, its Global Managing ​Director Andrew Stark said.

"Australians are very resilient and are already rebooking flights to the UK/Europe via alternative routes via China, Singapore ⁠and other Asian hubs, as well as North America via hubs such as Houston," he said.

Carriers that offer non-stop Asia-Europe flights are able to bypass the closed ​Middle Eastern airspace by flying north via the Caucasus then Afghanistan or south via Egypt then Saudi then Oman.

But it may add to flight times and fuel usage, ​driving up costs at a time when oil prices have spiked, in a move that could lead to higher fares over the longer term.

"Right now the whole of the Middle East is out of bounds, which is a high price for some airlines," said Subhas Menon, head of the Association of Asia Pacific Airlines.

"If then Europe can only be served at a high ​cost, airline profitability will be undermined. At the end of the day, the price to pay is connectivity," he added.

Alternative Options

Alton Aviation Consultancy said airlines operating non-stop services or ​through alternate hubs outside the affected region - including Hong Kong's Cathay Pacific Airways, Singapore Airlines and Turkish Airlines - may see short-term gains as passengers shift away from Gulf-based carriers.

Cathay Pacific's website showed no available economy-class seats on the Hong Kong-London route until March 11, with a one-way ticket on that day costing at least HK$21,158 ($2,705.28), falling to a more normal HK$5,054 later in the month.

For flights from Sydney to London, Qantas Airways is not offering any economy-class tickets on flights via its normal Perth and Singapore routings until March 17, when one is available ​for A$3,129 ($2,220.03) one-way.

For earlier dates, it ​has pricey options with non-traditional stopovers ⁠such as Los Angeles and Johannesburg.

Thai Airways is experiencing fully booked Europe-bound flights as European tourists opt for direct routes rather than transiting through the Middle East, according to Thailand's Transport Minister Phiphat Ratchakitprakarn.

A search of the Thai Airways site for travel ​from Bangkok to London showed tickets were sold out until late next week and then fares were high. An ​economy-class ticket for a ⁠one-way flight was available for 71,190 baht ($2,265) on 15 March, with prices dropping to 27,045 baht by 18 March.

Taiwan's EVA Airways said bookings for its Europe-bound flights had surged as Asian and European passengers seek alternative routing options.

Mainland Chinese airlines' websites showed fares on China-UK routes have also surged far above normal levels, with economy-class seats largely unavailable on ⁠near-term departures.

A ​return economy-class ticket from Beijing to London typically costs under 10,000 yuan ($1,452.71), but Air China's only option ​for Wednesday is business class, with a one-way ticket priced at 50,490 yuan.

($1 = 7.8210 Hong Kong dollars)

($1 = 1.4094 Australian dollars)

($1 = 6.8805 Chinese yuan renminbi)