Position statement on temporary relief from federal excise taxes on commercial aviation fuel

Rising tensions in the Strait of Hormuz have driven sharp increases in aviation fuel prices and created growing concerns regarding the availability of jet fuel throughout portions of the global supply chain. Increased fuel costs are an industry-wide issue affecting passenger and cargo carriers, charter operators, supplemental air carriers, regional airlines and commercial operators of every size and type across the United States.

Ultimately, increased fuel costs ripple through the broader economy, increasing prices on everything transported by air. From medical supplies and electronic components to flowers, perishables and consumer goods, everything becomes more expensive for American businesses and consumers.

As the Administration considers measures to reduce energy-related costs for the public, the National Air Carrier Association respectfully urges consideration of a temporary waiver of federal excise taxes on commercial aviation fuel until market conditions stabilize and fuel prices begin to decline.

This action would provide immediate operational relief to carriers, help preserve critical air transportation capacity, support supply chain stability, and help limit additional inflationary pressure on the American economy during a period of significant geopolitical uncertainty.