Pricy airfare, airport chaos test travelers

TOKYO/NEW YORK — Genevieve Price considers herself a great flight hacker.

The 35-year-old naturopathic doctor based in San Diego usually buys basic economy tickets when she visits her family in New Jersey and then uses her Alaska Airlines frequent flier status to pick a seat, something that’s usually not allowed for those no-frills fares.

“I like to travel a lot,” Price told CNBC at New York’s John F. Kennedy International Airport, where she was returning from Rome.

But Price said she has her limits, and is planning to cap the spending she does on future flights, such as no more than $900 to Rome, where her partner is from.

Consumers’ willingness to fly is being put to the test this spring as soaring fuel prices are leading to higher airfares. Cathay Pacific, SAS, Finnair and others are among the carriers that have already raised fares.

Travelers also have to contend with hourslong airport security lines in the U.S. because of the second government shutdown in half a year that’s hitting the Transportation Security Administration, leaving many frustrated.

Fuel at major U.S. airports was going for $3.98 on Wednesday, up nearly 60% since before the U.S. and Israel attacked Iran on Feb. 28.

The conflict has meant crisis for the aviation industry, particularly in the Middle East, where airspace closures have forced carriers to cancel flights and take longer and costlier routes.

Airlines will brief investors starting early next month on the longer-term impacts, but they immediately started raising airfare or increasing fuel surcharges on tickets to help cover the rising costs.

United Airlines CEO Scott Kirby told reporters at a company event in Los Angeles this week that airfare could go up 20% this year. Customers appear willing to keep booking even though carriers are passing those high fuel costs along to travelers, he added.

Other airlines have also said demand has held up.

Delta Air Lines CEO Ed Bastian told a JPMorgan industry conference earlier this month that demand has remained strong in recent weeks and that the airline is “well-positioned” to recapture the spike in fuel from its own sales.

U.S. airlines have seen solid demand for years. International travel has been a strong point, particularly for high-end leisure travel, which has brought so many visitors that governments from Japan to Spain have taken steps to reduce overtourism, while locals have protested.

But airline executives said they will prune flights if demand falls.

“We’re certainly going to be nimble in terms of capacity to make sure that supply and demand stay in balance,” American Airlines CEO Robert Isom said at the JPMorgan conference.

United, for its part, is preparing for fuel prices to remain elevated through next year and is cutting about 3…