Europe Could Run Out of Jet Fuel in 6 Weeks, IEA Warns

• Europe may have just six weeks left of jet fuel, according to the International Energy Agency (IEA), raising concerns about significant consequences for the continent’s economy.
• The IEA stated that several European countries could begin facing jet fuel shortages within that timeframe, depending on their ability to replace lost Middle Eastern supply, which previously accounted for 75% of Europe’s net imports.
• IEA Executive Director Fatih Birol warned that a blockade of the Strait of Hormuz could result in what he described as “the largest energy crisis we have ever faced.” Birol indicated that the broader economic effects would include higher gasoline, gas, and electricity prices, with some regions experiencing more severe impacts than others.
• He also noted that worsening oil supply constraints, particularly in April, could lead to increased inflation, reduced economic growth (especially in emerging markets), and potential energy rationing.
• Analysts and industry participants highlighted operational and economic pressures, including halted Middle Eastern supply flows, airline cost increases and weaker bookings (e.g., easyJet), and risks to Europe’s aviation sector, which generates €851.0Bn in GDP and supports 14 million jobs, with peak summer travel expected to face disruption and “harsh economic impacts.”

(Source: CNBC)