The inflation-adjusted average fare for a domestic trip out of Boston Logan International Airport now stands at $419, up from $355 a year ago, according to Bureau of Labor Statistics data. The cause is fuel.
Jet fuel prices have soared over the past year, tracking the jumps drivers have seen in gasoline and diesel. At an investors conference this week, executives from a number of airlines said the squeeze is pushing them to drop routes that earn less, lower-cost flights above all, as they try to protect margins into year-end.
Fares climbing across markets
Boston is not alone. The Kansas City Star reported domestic ticket increases of between 15% and 124% at Kansas City International Airport. Earlier this year, a Deutsche Bank analysis found the average price of a transcontinental flight had more than doubled, from $167 to $414.
Which flights will go has not been decided. Travelers are being urged to check the status of their bookings regularly as the year winds down.
Spirit’s exit and the political fight
Fuel costs were cited as a major factor when Spirit Airlines permanently ended operations earlier this year, a move that sharply cut discount options in the country. The cheapest seats are the first to go when fuel eats the margin, and Spirit took a lot of them with it.
Energy Secretary Chris Wright, defending the Trump administration over rising fuel costs, told Fox News: “Oil production, we’re fixing that problem. Refining is the bigger problem.” He pointed to the Russian invasion of Ukraine and the loss of refining capacity in Russia, and said the country is still reeling from what he called the Democrat-driven closure of refineries across the United States.
