IATA: Decline in Middle East jet fuel production offset by other regions

IATA Economics reported (24-Jul-2026) Middle Eastern jet fuel production decreased by an estimated average of 640,000 barrels per day for Mar-2026 to Jun-2026, compared to Feb-2026 levels. The disruption also resulted in reduced refinery activity in Asia as crude feedstock supplies tightened. IATA stated refiners in Europe, North America and West Africa were well positioned to fill the supply gap, supported by their access to diversified crude supply sources. The sharp increase in the premium charged for jet fuel over gasoil and diesel provided an incentive to maximise jet fuel output. As a result, average jet fuel yields in Europe, North America and West Africa increased from around 10% of refined output before the Iran conflict to 12% in May-2026. The increase in yields translated into 640,000 barrels per day of additional jet fuel production during Mar-2026 to Jun-2026, compared to Feb-2026 levels, broadly offsetting the decline in Middle Eastern production. IATA commented: "Together with demand moderation from flight cancellations and releases of strategic petroleum reserves, this helped the market avoid more widespread and acute physical shortages, particularly in Europe". [more - original PR]