Aviation industry lobbyists have issued what they describe as an "urgent call" to the European Commission to take a series of actions aimed at scaling up the production and deployment of sustainable aviation fuel (SAF) across Europe. In a joint statement, ACI Europe, Airlines for Europe (A4E), the European Regions Airline Association (ERA), the Civil Air Navigation Services Organisation (CANSO) and aerospace association ASD have put forward a 10-point action plan for 2025-26, which they claim will unlock investment in European SAF production and ensure competitiveness in the European Union's aviation market. The joint call precedes the publication of the Commission's sustainable transport investment plan later this quarter, in which it is expected to outline how it will support the transition to SAF that is mandated under its ReFuelEU Aviation Regulation. The aviation trade bodies note that Europe's SAF market remains "nascent", with HEFA-based fuels (hydroprocessed esters and fatty acids) being the only commercially available option and coming with a much higher price tag than conventional kerosene. They want the Commission to extend, "in volume and time", the type of fuels that are eligible under the EU's Emissions Trading System (EU ETS), arguing that this would "bridge the price gap" between SAF and kerosene. The associations also want the Commission to establish new market-based mechanisms funded by revenues from the EU ETS, which they say would create "a dynamic and self-sustaining SAF market through the 2030s". Measures should be taken, they add, to increase the availability of feedstocks for SAF in Europe, and to accelerate the testing and certification of e-SAF technologies. "By setting SAF mandates, ReFuelEU Aviation provided the 'sticks' needed for legal certainty, but failed to provide the 'carrots' – namely, the financial incentives and flexibility mechanisms required to ensure SAF is produced at scale and at competitive prices," states ACI Europe president Stefan Schulte. "Today, the industry has come together to present a 10-point plan to address this imbalance."

Boeing and Gulf Air have announced an agreement for the purchase of 12 Boeing 787s with options for six more as the Bahrain-based airline looks to further develop its international network. Once finalised the additional order will bring the carrier's firm order book to 14 for the 787, Boeing says on 17 July. "This agreement marks a transformative step in Gulf Air's strategic growth journey as we expand our global footprint and modernise our fleet with one of the industry's most advanced and efficient aircraft," states Khalid Taqi, chairman of Gulf Air Group. Cirium fleets data shows that Gulf Air has 10 787-9s in service, plus orders for two more that are scheduled to deliver in March and October 2026. It also has five Airbus A320neos and three A321neos on order and a total in service and stored fleet of 43 aircraft.

Finnair has reported sharply lower profits for the second quarter, after rolling strikes hiked costs and ate into demand. Operating profit of €19.2 million ($22.3 million) was 56% below the €43.6 million that it reported last year, though revenue grew slightly to €788 million. Finnair was forced to slash over 1,300 flights in the period as a result of industrial action by pilots in April and ground staff in May and June, raising expenses from customer rerouting and care, as well as compensation for delays. The strikes cost the airline around €41 million in lost revenue and reduced operating profit by around €10 million, it estimates. Meanwhile, Finnair's comparable operating result took a hit of around €29 million to come in at €10.3 million, against €43.6 million last year. Across the full year, Finnair expects strikes to cut €100 million from revenue, €70 million from its comparable operating result and around 5% from total capacity by ASKs. Collective labour agreements were signed by pilots in April; by crews and agency staff later in the quarter; and in recent days by Finland's service sector and aviation sector unions, which the airline believes will put the threat of strikes behind it. Finnair notes that despite the disruption, 94% of flights were operated as planned in the second quarter. "Restoring customer trust and satisfaction is of primary importance to us, and we are systematically working towards this by taking care of our customers and their needs as well as possible, both in the development of our product and services and in our daily operations," states chief executive Turkka Kuusisto. Finnair has halved its capacity guidance for the full year, to 5% growth, and expects revenue to be in the range of €3.2-3.3 billion, a slight moderation on its guidance in April. The airline is cautioning that its final comparable operating result will be at the lower end of its €30-130 million guidance – itself narrowed from €100-200 million in April – as a result of "weaker-than-expected demand in North Atlantic traffic and the indirect effects of industrial action on demand in broader terms". Kuusisto adds: "During the quarter, general market uncertainties increased, which began to affect demand for transatlantic flights, and customers’ booking windows became shorter. Our North American traffic grew significantly, but the growth rate was more moderate than previously planned, and average ticket fares in the area declined. In other markets, demand developed as expected."