Air India, owned by the Tata Group, is set to reduce nearly 200 weekly flights between June and August due to escalating fuel prices and weakened travel demand resulting from the ongoing conflict in West Asia. This follows a reduction of approximately 90 flights in May. The airline operates nearly 1,200 flights daily and has been struggling with significantly higher aviation turbine fuel costs, compounded by a weakening Indian rupee, which has inflated operational expenses. In FY26, Air India reported losses exceeding ₹22,000 crore (roughly $2.65 billion USD), prompting management to implement cost-control measures, including tighter control on discretionary spending and performance-linked bonuses. The geopolitical situation has forced airlines globally to reroute flights, increasing flying times and costs, which has further pressured Air India's operations. Despite being in the midst of a transformation program since its acquisition by Tata Group in 2022, the airline is now facing fresh challenges that threaten its profitability and operational efficiency.