French chemicals engineer Technip Energies has agreed with Airbus, Safran and Tereos to form a joint venture to develop a 160,000 tonne/year sustainable aviation fuel (SAF) plant at Dunkirk in northern France. The proposed development represents a positive long-term development for the aviation sector's energy transition and fuel supply diversification. The project will utilize alcohol-to-jet technology to convert ethanol derived from agricultural and forestry residues into SAF suitable for use in existing aircraft and engines. While the project remains subject to final investment approval and is not expected to provide near-term supply benefits successful implementation would contribute to airlines' sustainability objectives and may help mitigate future regulatory and environmental compliance risks associated with carbon emissions.

Middle Eastern airline capacity remains significantly below pre-conflict levels, with weekly departing seats down 24% year-on-year, reflecting the ongoing impact of the Iran conflict on regional air travel. While some airlines, such as Etihad and Royal Jordanian, have increased capacity in an effort to capture market share, major carriers including Saudia, Emirates and Qatar Airways continue to operate reduced schedules, and several international airlines have yet to resume services to the region. Although capacity is expected to gradually recover through the third quarter, industry experts caution that passenger demand may take much longer to return as travel patterns and customer behaviour have already shifted. However, IATA believes the disruption is temporary and that Gulf carriers will ultimately regain their position as key global transit hubs between Europe and Asia, with no permanent structural change to the region's airline business model.

Lufthansa is accelerating its global growth strategy in 2026 through the expansion of its long-haul network across the United States, South Africa, Kenya, Nigeria, Malaysia, Brazil, Colombia and other key international markets. The airline is increasing capacity and introducing new services to meet growing demand for both business and leisure travel while strengthening its position as a leading global hub carrier.
Key growth markets include the United States, with expanded services to destinations such as St. Louis, Houston, Denver, Atlanta, Detroit, Raleigh/Durham and Washington; Africa, with increased connectivity to South Africa (Johannesburg and Cape Town), Kenya (Nairobi) and Nigeria (Lagos); Asia, with the launch of a new route to Malaysia (Kuala Lumpur) and continued growth in Singapore, South Korea and India; and South America, with expanded services to Brazil (São Paulo and Rio de Janeiro) and Colombia (Bogotá).
This strategic expansion reflects Lufthansa's confidence in sustained global travel demand and its commitment to enhancing connectivity between Europe and key economic and tourism centres worldwide.