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With flight prices soaring due to jet fuel shortages amid the conflict in the Middle East, one major airline is going the opposite route.
Abu Dhabi-based Etihad Airways announced it will be cutting fares on long-haul flights up to 50%.
The ongoing war has had a negative impact on demand for travel, and the airline is looking to increase travel from the UK to Australia, Singapore and Asia ahead of the summer travel season.
With fuel costs rising, many airlines have been adapting to new policies and flight routes.
Emirates, Etihad Airways, Saudia, Gulf Air and Air Arabia have all implemented flexible booking policies that allow travelers to modify plans if needed.
Scandinavian Airlines (SAS) said it will be canceling 1,000 flights in April due to the rising oil and jet fuel prices.
But Etihad Airways took it a step further and drastically lowered the cost to recover passenger numbers from Europe to Asia and Australia.
“As soon as travel picks up, we want to be back to flying planes 100% full in all cabins, as we were before the conflict. These prices will help,” an anonymous Etihad Airways executive told The Times.
The drastic ticket fare reduction is applicable for travel itineraries across May and June for top-ranking holiday destinations such as the UK, Australia, Singapore, Hong Kong, Bangkok, the Maldives and Tokyo.
As demand for travel decreases, the new prices hope to offer affordable deals that can’t be passed up, as well as bring in first-time travelers to premium routes, who may later become repeat flyers.
An economy-class return flight from London to Sydney, via Abu Dhabi, on an Etihad flight that departs in May and returns in June are as low as £688 ($911.30 USD) per person. A business-class return is £2,465 ($3,265.04 USD) per person, including taxes.
In comparison, the cheapest ticket on British Airways to Sydney, via Singapore, on the same dates are £1,850 ($2,450.44 USD) in economy and £10,435 ($13,821.78 USD) in business class.
The Times noted that some of the fares on Etihad Airways are lower now than they were during the COVID-19 pandemic.
The reduced fares are expected to be available for a specific period, with the airline’s website showing that prices rise again in July.
Henry Harteveldt, a leading global aviation analyst at Atmosphere Research Group, told The Times that the airline’s move is “not unusual,” noting that after 9/11, “US airlines offered deep discounts to tempt passengers back. I call it ‘the price of courage.’ “
“Despite what they may say now, I expect Etihad’s competitors will respond. Because not only do they have plenty of empty seats, the last thing they want to do is risk losing a passenger to Etihad,” he added.
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