Airfares will rise further and flights will be canceled in the next few weeks. Chevron CEO Mike Wirth made the prediction, CBS reported. The oil company's chief executive cited the ongoing blockade of the Strait of Hormuz, which is driving up fuel prices due to a shortage of raw materials.
"I think the situation for airlines is going to get worse in the next few weeks“, Wirth predicted, pointing to signs of a lack of kerosene in Europe and Asia. He pointed out that the increase in airfares, as well as the introduction of fuel and excess baggage fees, will create problems for travelers, but will also limit the market for airlines.
"There will not be a large choice of flights, and planes will fly fuller after the optimization of routes“, added the Chevron boss. According to him, American airlines are in a more advantageous position than European ones and in the rest of the world, since the United States has its own kerosene production.
However, the price of jet fuel has increased by more than 80% compared to last year, according to market data.