Pakistan airspace ban costs Indian airlines $2 billion as Air India drops routes
Air India will suspend Delhi–Vienna and Delhi–Birmingham flights from 31 October and 1 November, citing longer routes, fuel costs and aircraft shortages.
Pakistan's airspace has been closed to Indian aircraft since April 2025, a restriction the Pakistan Airports Authority says will stay in force through November, and ProPakistani reported the closure has cost India's aviation industry about $2 billion while pushing Air India to cut international routes.
Air India will suspend flights between Delhi and Vienna from 31 October and between Delhi and Birmingham from 1 November, the outlet reported. The airline cited higher operating costs, rising jet fuel prices and reduced aircraft availability caused by maintenance work and cabin upgrades.
ProPakistani, citing Express News, reported that Air India faces annual losses of $455 million to $591 million because of the airspace closure, and that the airline has told the Indian government the restriction has affected its profit before tax. Those figures come from reports cited by the outlet and have not been independently confirmed.
Pakistan shut its airspace to Indian aircraft on 23 April 2025, after the Pahalgam incident, and the restriction has now run for about 18 months. Indian carriers have been routed through Iran or Central Asia instead, which the report said added up to 29 percent to fuel costs and between 30 minutes and three hours to flight times. Around 800 Indian flights a week are affected, about 640 of them operating through Delhi.
Under its 2026-27 winter schedule, Air India is also reported to be considering suspending its Delhi–Copenhagen service and reducing flights to London Gatwick and San Francisco. The airline said the combination of the Pakistani airspace closure, higher jet fuel prices and the limited availability of Boeing 787 aircraft contributed to its decision to trim international operations.
A Pakistan Airports Authority spokesperson said the restriction on Indian aircraft remained in effect through November, with a formal Notice to Airmen (NOTAM) issued to that effect. The reports did not carry any response from the Indian government or from Air India.
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