IATA Director Willie Walsh on Rising Cost of Jet Fuel

Summary

IATA Director Willie Walsh discusses the outlook for jet fuel supply and prices. He notes that while supply may tighten later in 2025 due to crude and refining constraints, high jet fuel prices are incentivizing refineries to boost output, suggesting the situation is less severe than previously anticipated.

• Willie Walsh says the jet fuel problem is not as severe as earlier thought.
• He expects periods of very tight supply later in the year.
• Tight supply is driven by crude supply and refining capacity constraints.
• High jet fuel prices are providing an incentive for refineries to increase jet fuel production.
• The combination of tightness and refinery response suggests a balanced outlook.
• No specific investment recommendations or tradeable securities are mentioned.