AviTrader sponsorship ad

Jet fuel prices have reached 12-year highs

The cost at the pump has been rising since China reopened. Photo - Swissport

As China's reopening takes to the skies

made headlines again in the last week with the shooting down of a spy balloon over the U.S and subsequently at several sightings in different parts of the world. For the aviation industry however, soaring jet fuel demand data will be vital to understanding if China's reopening will give the global economy a much-needed ‘shot in the arm', according to climate technology company Kayrros.
Since China's reopening on 8 January, which followed more than 1,000 days of Covid restrictions, jet fuel demand has been climbing. As the Chinese took to the skies to celebrate their freedom and the Lunar New Year, national jet fuel demand doubled within a week.
The reopening has boosted the global aviation sector, which is still recovering after Covid.

Data from Kayrros, a global climate technology company showed that year-on-year growth in jet fuel demand – a relatively ‘niche' product – reached 20% last month. The company cited analysis of ADS-B data – signals from aircraft transponders. As jet fuel prices reach a 12-year high, compared to diesel, data on air , a bellwether of the global economy, suggests the global economy may not be rising with them. Passenger travel demand growth now outperforms that from air freight, which may be a worrying sign for the economy. Kayrros' President Antoine Rostand said real-time comprehensive monitoring of jet fuel demand will be “key” to understanding if China's reopening will give the global economy the boost it needs.

“Air freight is considered a leading economic indicator. That's why the drop in air cargo demand which our data show could be a red flag for the economy,” he said. “For now, this has been more than offset by the surge in passenger flights, particularly on low-cost airlines. But this will continue to cause rising prices, which will drive down air cargo demand. “It therefore remains to be seen how the global economy will react. We can be certain that real-time monitoring of jet fuel data will be key to understanding whether China's reopening will give the world economy the shot in the arm it needs.”

Despite accounting for just 6% of global oil demand in 2022, jet fuel demand is expected to have an outsize impact on global oil markets this year, the International Energy Agency said last month. The IEA added that it may account for 45% of global oil demand growth of 1.9 bpd, as the wider aviation sector continues to recover from its Covid slump. Kayrros said according to current trends, aviation will be the main factor contributing to annual oil demand of over 100 million bpd for the first time.

In the US, the rise of e-commerce bolstered jet fuel demand for cargo aircraft at the peak of the pandemic. Kayrros warned last month that the re-diversification of the economy post-Covid could undermine this, citing reports that Amazon may lay off more than 18,000 employees.

Share this Article
Friday June 14, 2024
Guests witnessing the EH216-S pilotless eVTOL's debut flight in Saudi Arabia
EHang Holdings (EHang), an urban air mobility (UAM) technology platform company, has reported that its EH216-S pilotless electric vertical take-off and landing (eVTOL) aircraft completed its first autonomous air taxi flight in Mecca, Saudi Arabia. The autonomo... Read More »
Friday June 14, 2024
Skymark Airlines Boeing 737-800 © AirTeamImages
MRO service provider SR Technics has signed a five-year general terms of agreement with Skymark Airlines for exclusive rights to maintain Skymark's CFM56-7B engines. At the signing ceremony in Japan, Owen McClave, SR Technics' CEO, stated: “We are proud that... Read More »
Friday June 14, 2024
Ian Reason, SVP of Barnes and President of Barnes Aerospace and Irene Makris, VP Customer Service, Pratt & Whitney Canada signing the new agreement
Barnes Aerospace and RTX's Pratt & Whitney Canada (P&WC) have signed a long-term extension of their repair services agreement. As industry leaders in aerospace aftermarket solutions, the companies are committed to partnering on the maintenance, repair,... Read More »
Friday June 14, 2024
Emirates
The U.S. Transportation Department has fined Emirates US$1.5 million for operating flights carrying JetBlue Airways' designator code in prohibited airspace. Between December 2021 and August 2022, Emirates operated numerous flights with the JetBlue Airways code... Read More »
Friday June 14, 2024
Representatives from Diehl Aviation and Skyways Technics at the signing ceremony
Representatives of Diehl Aviation and Skyways Technics HU Kft. (Skyways Technics) have signed an agreement at Diehl Aviation Hungary in Nyírbátor to cooperate in the maintenance of aircraft structural components, with Diehl Aviation's autoclaves playing a ce... Read More »
Friday June 14, 2024
François Fermaut
Vallair, the mature aircraft asset specialist dedicated to supporting operators and lessors, has released that François Fermaut has assumed the role of Sales and Business Development Manager for the aerostructures and engines divisions based in Châteauroux, ... Read More »
Thursday June 13, 2024
SITA Baggage IT Insights 2024 reports the number of bags mishandled by the industry falling from 7.6 to 6.9 per 1,000 passengers in 2023
SITA has reported an improvement in the air transport industry's rate of mishandled baggage. The newly launched SITA Baggage IT Insights 2024 reports the number of bags mishandled by the industry falling from 7.6 to 6.9 per 1,000 passengers in 2023. This is de... Read More »
Thursday June 13, 2024
Andy Smith newly appointed Chief Commercial Officer at flydocs
flydocs, a digital records and asset management solution provider for the aviation industry, has appointed Andy Smith as its Chief Commercial Officer and a member of the flydocs leadership team. Smith, an international sales and marketing professional, joins f... Read More »
Thursday June 13, 2024
Rendering of the new facility in Daytona Beach, Florida © Boeing
Boeing will operate a new engineering facility within the Cici & Hyatt Brown Center for Aerospace Technology at Embry-Riddle Aeronautical University in Daytona Beach, Florida. Initial plans for the location include Boeing employees performing engineering w... Read More »
Thursday June 13, 2024
JD Airlines 737-800 BDF aircraft
AerCap has signed lease agreements for four 737-800 Boeing Converted Freighter (BCF) aircraft with JD Airlines, the cargo airline of JD Logistics (also known as Jingdong Logistics). These aircraft are scheduled for delivery in 2024. The aircraft will be operat... Read More »
Thursday June 13, 2024
Pablo Canales, CEO of ©Americas GSA
Americas GSA, a subsidiary of ECS Group, has announced a strategic partnership with JetBlue Cargo. This collaboration marks a significant milestone, enhancing its services on domestic routes out of Florida. The contract commenced in February 2023 for Florida S... Read More »
Thursday June 13, 2024
Arajet Boeing 737 MAX © Boeing
Arajet's tenth Boeing 737 MAX arrived in Santo Domingo, Dominican Republic on June 11, as the airline continues to expand its fuel-efficient fleet. This 737-8 delivery, facilitated through a lessor, supports Arajet's growth strategy across the Americas, with p... Read More »
Wednesday June 12, 2024
Jack Diskin
Jackson Square Aviation (JSA), a full-service commercial aircraft lessor, has announced that Jack Diskin has been promoted to Senior Vice President, Head of Risk, effective June 1, 2024. Having joined JSA last year, Diskin brings a global perspective to risk m... Read More »
Wednesday June 12, 2024
Rendering of TriFan 600
XTI Aerospace has released that Mesa Air Group (Mesa), the holding company of regional air carrier Mesa Airlines, is the purchaser under a previously disclosed conditional purchase order with XTI Aircraft Company (XTI), a wholly owned subsidiary of XTI Aerospa... Read More »
Wednesday June 12, 2024
Safran Brussels © Safran
Safran Aircraft Engine Services Brussels, a subsidiary of Safran Aircraft Engines, has inaugurated a new MRO workshop for LEAP engines in the Brussels airport zone. Safran Aircraft Engines has invested €24 million (US$26 million) in the construction of the 8... Read More »
Wednesday June 12, 2024
Liebherr’s 3D printed flex shaft for the Airbus A350 high-lift system
Liebherr-Aerospace has taken a significant step forward in the additive manufacturing of complex parts for aerospace applications. The first-tier supplier has successfully integrated a 3-D printed flex shaft into the Airbus A350 high-lift system. This unit has... Read More »
Wednesday June 12, 2024
Airbus A321neo in SMBC Aviation Capital livery
Aircraft leasing company SMBC Aviation Capital, has posted its results for the financial year ended March 31, 2024. The company reported a record profit before tax of US$460 million, marking a 35% increase year-on-year, before exceptional items. Including insu... Read More »
Wednesday June 12, 2024
V2500 engines © MTU Maintenance
MTU Maintenance Canada has celebrated the completion of its 1,500th shop visit, marking this milestone with the redelivery of a V2500-A5 engine operated by Spirit Airlines. The V2500, especially the -A5 model and its -E5 military variant, has become a cornerst... Read More »
Tuesday June 11, 2024
Klaus Roewe (l) CEO of Lilium and Yong Ni (l), a representative of the Bao’an District © Lilium
Lilium has signed a collaboration agreement with the Shenzhen-based Bao'an District. Under the agreement, Lilium has established its [APAC] regional headquarters in the district through its recently created Chinese entity (力翎航空), meaning “Powerful Wi... Read More »
Tuesday June 11, 2024
Bill Kircher
CTS Engines (CTS), an independent jet engine maintenance, repair, and overhaul (MRO) provider, has named Bill Kircher, currently Executive Vice Chairman of CTS, to the expanded role of Chief Executive Officer and Executive Vice Chairman. He succeeds Vesa Paukk... Read More »
AviTrader MRO magazine Mai 2024 edition

2023 MEDIA KIT

Aviation Media Pack

Subscribe to the most widely accepted news source in the aviation industry!


Free Daily, Weekly and MRO Publications delivered to your Inbox!
News Alerts, Editorials, Marketplace, Executive Interviews +more

Select publications:

*we respect your privacy and AviTrader will not share your email address to any 3rd Parties.

Scroll to Top
AviTrader Publications Corp.

FREE
VIEW