Thai Airlines Press for Fuel Tax Cuts as Brent Hits $105

Thai carriers are intensifying pressure on the government to slash jet fuel taxes, citing "unsustainable" operational costs as global oil benchmarks surge. The Association of Thai Airlines (AAL) warned Monday that the industry, a backbone of the nation’s tourism-dependent economy, is struggling to absorb the shock of energy prices triggered by the escalating conflict in the Middle East.

Pudthipong Prasarttong-Osoth, President of the AAL and CEO of Bangkok Airways, emphasized that government intervention is now critical to stabilizing the sector. "Aviation is an essential infrastructure for Thailand’s tourism and economy," Pudthipong stated, adding that tax relief is necessary to maintain travel activity as fuel expenses spiral out of control.

The appeal comes as Brent crude, the international benchmark, surged to approximately $105 per barrel in Monday’s trading. Global oil prices have seen a staggering cumulative increase of nearly 40% since the outbreak of the war between the U.S.-Israeli alliance and Iran on February 28. While Brent retreated slightly from an intra-day high of $106 to settle around $104.73 (a 1.6% daily gain), the sustained volatility continues to threaten the financial viability of regional carriers entering the third week of the conflict.