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Arab airlines projected to face $4.3 billion net loss in 2026
The Arab Air Carriers' Organization (AACO) projects that its 39 member airlines will record a collective net loss of $4.3 billion (3.82 billion euros) in 2026. This forecast, released during the association's annual general meeting in Doha, follows a period of significant operational pressure caused by geopolitical uncertainties and fluctuating financial conditions.
In addition to the projected losses, the report anticipates a 5.2% decline in air cargo traffic for the region. Fuel costs are expected to account for 37.3% of operating expenses for AACO members, a notable increase from the 25.4% and 27.9% recorded in 2025. Globally, the aviation industry's net profit is expected to drop to approximately $23 billion, marking its lowest level in 12 years, excluding the COVID-19 pandemic period.
AACO Secretary General Abdul Wahab Teffaha also raised concerns regarding the European Union's proposed Emissions Trading System (ETS). He suggested the system could infringe upon regional airspace sovereignty and impose unfair additional costs on Arab carriers.
Entities
Abdul Wahab Teffaha · Arab Air Carriers' Organization · Doha · European Union · Qatar Airways
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 3 SOURCES] Air cargo traffic for AACO members is expected to decline by 5.2% in 2026. arabic.euronews.com · fr.euronews.com · www.euronews.com
- [● 2 SOURCES] AACO Secretary General Abdul Wahab Teffaha stated the EU's proposed Emissions Trading System raises questions of sovereignty. arabic.euronews.com · www.euronews.com
- [● 3 SOURCES] Fuel is expected to represent 37.3% of operating costs for AACO members in 2026. arabic.euronews.com · fr.euronews.com · www.euronews.com
- [● 3 SOURCES] AACO member airlines are projected to record a net loss of $4.3 billion (3.82 billion euros) in 2026. arabic.euronews.com · fr.euronews.com · www.euronews.com
- [● 3 SOURCES] Global aviation industry net profit is projected to fall to approximately $23 billion in 2026. arabic.euronews.com · fr.euronews.com · www.euronews.com