
Korean Air says it is moving into emergency management mode to buffer the impact of surging jet fuel costs as the global economy is rocked by the ongoing US-Israel war with Iran.
A spokesperson for the national flag carrier said on Tuesday that it will implement "internal cost-reduction measures" to manage its finances to ensure the firm's "stability amidst rising fuel prices and global economic uncertainty".
Since the Iran war started on 28 February, Brent crude oil has risen by more than 50% to over $110 (£83.33) a barrel, sending the cost of jet fuel sharply higher.
Employees of the country's largest airline were first notified about the measures in a memo that has been seen by the BBC.
Vice Chairman Woo Ki-hong told staff members "we plan to switch to an emergency management system" in April to "prepare for rising costs due to a surge in fuel expenses".
The airline will "pursue company-wide cost efficiency" through measures based on the price of oil, Woo said.
The moves are "not merely one-time cost-cutting initiative but rather an opportunity to strengthen our structural foundation", he said.
South Korea is particularly vulnerable to disruptions to energy supplies from the Middle East as it is heavily reliant on oil and gas from the Gulf.
The country's second-largest carrier, Asiana Airlines, and budget airline Busan Air have also entered emergency management mode.
All three airlines are owned by the South Korean conglomerate Hanjin Group.
The average price of jet fuel rose to nearly $200 (£151.45) a barrel on 20 March, more than double what it was in February, according to the latest International Air Transport Association figures.
In Asia trade on Tuesday, energy prices edged up, with Brent crude rising by 0.3% to just over $113 a barrel.
The price of US-traded oil rose 0.2% to $103. On Monday, it closed above $100 a barrel for the first time since the conflict began.
Additional reporting by Leehyun Choi in Seoul
LATEST POSTS
- 1
Why Tourists May Want To Reconsider Traveling To This Popular Spot In Italy In 2026 - 2
Herzog, German Chancellor Merz discuss final Gaza hostage, Arrow 3 exchange in Jerusalem - 3
A definitive Manual for Well known Fragrances - 4
AI is making spacecraft propulsion more efficient – and could even lead to nuclear-powered rockets - 5
Vote in favor of Your #1 4\u00d74 SUVs
Famous Network programs in Europe and America
The Most Compelling Innovation Developments Somewhat recently
Mali and Canadian miner Barrick agree to resolve tax dispute, ending 2-year standoff
Sheinelle Jones will cohost fourth hour of 'Today' with Jenna Bush Hager: Here's what to know about her
Single women risk rape and exploitation in search for better life in Europe
Language Learning Applications for Voyagers
Most loved Caf\u00e9 Chain: Where Do You Get Your Caffeine Fix
Apollo vs. Artemis: What to know about NASA's return to the moon
Steinmeier honours Italian 'guest workers' who rebuilt German economy











