The repercussions of the war in Iran are beginning to be felt in the Canadian airline industry, and it is travelers who will likely feel the first effects, particularly on discounted tickets and reservations through loyalty programs, according to an industry expert.
This text is a translation of content from CTV News.
“This will most directly and immediately affect people who book companion tickets, WestJet points, as well as reservations with other airlines,” said McKenzie McMillan, managing partner at The Travel Group, during an interview with CTV News Channel on Saturday.
“But I think our biggest concern right now is that if this situation worsens, we could see more flight cancellations in the future as airlines reduce services to cut fuel costs.”
Mr. McMillan indicated that for holders of standard tickets, the increases may be less noticeable.
“On standard tickets, there is already a fuel surcharge. It can sometimes represent up to half the price of the ticket. So if we see increases of $60 to $100 or a little more, it probably won’t be too extreme for the general public,” he said.
He also warned of possible disruptions during peak periods, when flights are often full and it becomes more difficult to find an alternative. He mentioned recent cancellations in Mexico which left travelers stranded for several days due to lack of available places.
“This is one more reason why it is very important to ensure the validity of your travel reservations.”
—  McKenzie McMillan, associé gérant chez The Travel Group
These concerns come as Canadian airlines begin to adapt to the sharp rise in kerosene prices linked to the war in Iran.
WestJet announced it will introduce a temporary $60 fuel surcharge on bookings made with companion vouchers starting April 8. The Calgary-based airline is also reducing flights throughout April and May.
Air Canada indicated that it had already adjusted its fares to take into account the rise in kerosene costs and was considering eliminating certain regional routes.
Air Transat has introduced fuel surcharges on its flights to Europe and increased its prices during busy periods.
For now, McMillan said the overall impact on Canadian travelers will depend on how the conflict evolves, but early signs indicate that rising costs and potential disruptions are already being felt.
With information from the Canadian Press and Judy Trinh for CTV News
