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US-Iran Conflict Triggers 26% Drop in Indian Carriers' International Traffic

· Business · Times of India, LiveMint, Hindustan Times

International passenger traffic for Indian airlines fell by 26% during the April-June quarter as the US-Iran conflict disrupted global travel. Air India Group experienced a 35% decline in international carriage, while IndiGo saw a 15.4% reduction compared to the same period in 2025. Conversely, foreign carriers like Lufthansa and Emirates recorded growth or stable passenger numbers during the same timeframe. The decline adds to existing operational challenges for Indian airlines, which have faced persistent issues with Pakistan's airspace closure since April 2025. Total international passenger volume in and out of India dropped 10.5% to 1.7 crore during the peak summer quarter.

Why it matters

The shift in passenger traffic highlights the vulnerability of Indian carriers to regional geopolitical instability and airspace restrictions, which are currently benefiting foreign airlines operating in the same corridors.

Read the original report — Times of India

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