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Gulf airlines recover slowly as Iran conflict drags

Middle Eastern airlines face uneven recovery as Iran conflict continues to disrupt flights, fuel prices, and passenger demand across the Gulf region.

March 23, 2026

Reuters

Gulf airlines recover slowly as Iran conflict drags

Etihad Airways signage at the Chase Sapphire Lounge, amid the U.S.-Israel conflict with Iran, inside Terminal 4 at John F. Kennedy (JFK) International Airport in New York City, U.S., March 2, 2026.

Bing Guan/Reuters

Middle Eastern airlines, some of the biggest globally, have been hit hard by the Iran conflict that has seen attack drones and missile strikes across the Gulf region, disrupting busy airport hubs and redrawing traffic routes across the skies.


Major state-backed carriers in the region including EmiratesEMIRA.UL, Etihad Airways, flydubai, Qatar Airways and Air Arabia AIRA.DU saw flight numbers drop to near zero after the initial February 28 strikes by U.S. and Israeli forces on Iran.


Flight numbers from the key United Arab Emirates, which includes Abu Dhabi and Dubai, have slowly picked up since then, though remain well below pre-conflict levels, data compiled by Flightradar24.com shows.


The recovery has not been even.


Flightradar24.com data show Dubai-based Emirates is back at nearly three-quarters of its pre-conflict capacity, with Air Arabia and Etihad at around half. Flydubai is at around a third of its normal level, while Qatar Airways lags at just 20%.


The war on Iran has impacted fares and demand, hit airlines that do not hedge against oil prices as jet fuel prices soar, disrupted schedules in Europe and Asia, prompted airlines to warehouse planes and led to lengthy "flights to nowhere".


Gulf Airline Recovery https://reut.rs/41bqp2N


Iran Conflict: UAE Flights https://reut.rs/3N0l0s6


Iran Crisis: Flights to Nowhere https://reut.rs/4cSMzxX


-Compiled by Adam Jourdan; Editing by Alexander Smith/Reuters

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