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Refinery Yield Shift Helped Avert Global Jet Fuel Shortages, IATA Says

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The global refining sector offset a 640,000-barrel-per-day Middle East jet fuel supply loss during March-June, helping avert broader shortages, the International Air Transport Association said Friday.

The conflict that began on Feb. 28 cut Middle Eastern jet fuel production by an average of 640,000 b/d from March through June versus February levels, IATA said.

Asian refiners also reduced processing as tighter Middle Eastern crude supplies limited feedstock availability. IATA said lower refinery runs cut jet fuel production and exports across the region.

Refiners in Europe, North America and West Africa increased jet fuel output as stronger margins encouraged higher yields. Average jet fuel yields rose from about 10% before the crisis to 12% in May 2026, IATA added.

Higher jet fuel premiums over gasoil and diesel encouraged refiners to produce more jet fuel as stronger profits made higher output more attractive.

The higher yields added 640,000 b/d of jet fuel between March and June versus February, largely offsetting the Middle East production decline.

Flight cancellations curbed fuel demand, while strategic petroleum reserve releases and higher refinery output helped prevent wider physical shortages, especially in Europe.

IATA said the disruption highlighted the close link between diesel and jet fuel production because refiners can shift output when jet fuel margins improve.

Diesel remains refiners' largest profit driver, but higher jet fuel premiums encourage greater jet fuel yields, easing supply tightness and supporting market balance, IATA said.

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