This article summarizes reporting by Reuters. Additional details are sourced from official aviation authority statements and public remarks.

On Monday, May 11, 2026, a Turkish Airlines Airbus A330 experienced a minor fire in its landing gear upon arriving in Kathmandu, Nepal. According to reporting by Reuters, the incident forced a temporary closure of the airport, but all individuals on board were safely evacuated without serious injury.

The flight, operating as TK726 from Istanbul, was carrying 277 passengers and 11 crew members when the emergency occurred at Tribhuvan International Airport (TIA). Emergency responders quickly contained the situation, preventing a major disaster at Nepal’s primary international gateway.

We are closely monitoring the ongoing technical inspections and the cascading flight disruptions resulting from the runway closure. The swift action by airport fire crews ensured that the situation was neutralized rapidly, with only minor injuries reported during the emergency slide evacuation.

Incident Details and Evacuation

Emergency Response on the Runway

The incident unfolded at approximately 6:45 AM local time. As the Airbus A330-300 touched down on the runway, ground observers and airport officials noted thick grey smoke and visible flames emanating from the right rear landing gear and tyres. Airport security and fire services were immediately dispatched to intercept the aircraft.

SP Rajkumar Silawal of the Airport Security Office confirmed the rapid deployment of emergency services to the scene, noting that the runway was temporarily closed for technical inspection.

“Using the fire engine, it has been contained. All the passengers are safely evacuated,”

, SP Rajkumar Silawal, Airport Security Office

The evacuation process utilized the aircraft’s emergency deployment slides. While all 288 people on board escaped the aircraft safely, authorities noted that a few passengers sustained minor hand injuries during the rapid descent. The passenger manifest notably included four children and several United Nations officials traveling to the capital. Additionally, officials confirmed the aircraft’s cargo hold was transporting human remains alongside standard baggage.

Official Statements and Technical Assessments

Airline and Authority Perspectives

The Civil Aviation Authority of Nepal (CAAN) provided immediate updates on the aircraft’s status following the evacuation. CAAN spokesperson Gyanendra Bhul stated that the fire in the right rear tyre was successfully doused and the aircraft was subsequently towed to a taxiway, where it remains grounded for a thorough inspection.

Turkish Airlines also addressed the malfunction promptly. Yahya Ustun, the airline’s Senior Vice President of Communications, released a statement on the social media platform X. He noted that smoke was observed in the landing gear while taxiing and that technical inspections had been initiated immediately.

“Initial assessments indicate that the smoke was caused by a technical malfunction in a hydraulic pipe,”

, Yahya Ustun, Turkish Airlines SVP of Communications

Ustun further confirmed that the airline is organizing an additional flight to accommodate passengers who were scheduled for the return leg from Kathmandu to Istanbul.

Operational Impact and Historical Context

Flight Disruptions at Tribhuvan International

The emergency response necessitated the closure of TIA’s sole runway for approximately one hour. This shutdown caused significant cascading delays across the region’s airspace. Incoming flights from carriers such as Air India, Air Arabia, Drukair, flydubai, and Nepal Airlines were either placed in holding patterns in Kathmandu airspace or diverted to alternate airports until the runway was cleared.

AirPro News analysis

We note that Nepal’s mountainous terrain and unpredictable weather already make Tribhuvan International Airport a highly challenging environment for commercial aviation. This incident adds to a recent pattern of operational challenges for Turkish Airlines in the South Asian region. In February 2026, another Turkish Airlines flight departing Kathmandu suffered an engine fire, forcing an emergency landing in Kolkata, India.

Furthermore, aviation observers will recall a high-profile March 2015 incident where a Turkish Airlines jet skidded off the runway at TIA in dense fog. While there were no injuries in that event, it closed the airport for several days, and the stranded aircraft was eventually converted into an aviation museum. The swift containment of this latest landing gear fire highlights significantly improved emergency readiness and ground response at the airport, preventing a repeat of the prolonged 2015 operational shutdown.

Frequently Asked Questions (FAQ)

When did the Turkish Airlines fire in Kathmandu occur?

The incident occurred on the morning of Monday, May 11, 2026, at approximately 6:45 AM local time.

Were there any casualties on Flight TK726?

No fatalities or serious injuries occurred. All 277 passengers and 11 crew members were safely evacuated. A few individuals sustained minor injuries, such as scraped hands, while using the emergency evacuation slides.

What caused the fire on the Airbus A330?

According to statements from Turkish Airlines, initial technical assessments suggest the smoke and fire were caused by a malfunction in a hydraulic pipe near the right rear landing gear.

Sources

• Reuters
• Official statements from the Civil Aviation Authority of Nepal (CAAN)
• Public remarks from Turkish Airlines Communications

This article is based on an official press release from ACIA Aero Leasing.

ACIA Aero Leasing Closes Sale and Leaseback Deal with Braathens for Two ATR 72-600s

On May 7, 2026, ACIA Aero Leasing announced the successful closing of a sale and leaseback (SLB) transaction with Braathens Regional Airlines. The agreement covers two ATR 72-600 passenger turboprop aircraft. According to the official press release, these aircraft are currently deployed on regional routes across Sweden and Northern Europe, operating exclusively on behalf of Scandinavian Airlines (SAS).

This transaction provides Braathens with capital liquidity while allowing the carrier to retain uninterrupted use of the aircraft. We note that this financial maneuver follows a period of profound transformation for Braathens, which recently restructured its business to operate as a dedicated wet-lease provider for SAS.

The deal not only bolsters Braathens’ balance sheet but also expands ACIA Aero Leasing’s footprint in the Nordic regional aviation market, reinforcing the lessor’s commitment to fuel-efficient turboprop operations.

Transaction Details and Fleet Impact

Expanding the ACIA and Braathens Partnership

The sale and leaseback agreement involves two specific ATR 72-600 aircraft, identified by Manufacturer Serial Numbers (MSNs) 1348 and 1357. By selling these assets to ACIA and immediately leasing them back, Braathens unlocks capital without sacrificing the operational capacity required to fulfill its network obligations to SAS.

According to the press release, this transaction increases ACIA’s leased fleet with Braathens to three aircraft. Furthermore, it brings ACIA’s total global ATR portfolio to 38 aircraft. Industry data indicates that ACIA, headquartered in Ireland, manages a broader global portfolio of nearly 70 regional passenger and freighter aircraft across more than 22 countries, while Braathens operates a core fleet of 17 ATR 72-600s.

Company leadership from both organizations highlighted the collaborative nature of the agreement. Mick Mooney, Chief Executive Officer of ACIA Aero Leasing, emphasized the lessor’s commitment to the airline’s ongoing transition:

“We are delighted to strengthen our relationship with Braathens through this SLB transaction on two ATR 72-600s. The transaction further demonstrates our support for Braathens as they continue to transform their business.”

Mia Jakobsson, Head of Fleet Management & PMO at Braathens, echoed this sentiment, pointing to the importance of lessor support during the airline’s recent operational shifts:

“We greatly appreciate ACIA’s continued support throughout the changes Braathens has undergone in recent times. These transactions are a testament to the strong cooperation between our teams, and we value the partnership as our joint business continues to grow.”

Braathens’ Strategic Pivot and Restructuring

Transition to a Pure ACMI Model

The context surrounding this SLB transaction is rooted in Braathens’ recent strategic overhaul. Industry research shows that in September 2024, Braathens announced it would cease its own scheduled passenger operations out of Stockholm Bromma by the end of that year, citing a sluggish post-pandemic domestic market. In its place, the airline secured a seven-year, SEK 6 billion (approximately $590 million) ACMI (Aircraft, Crew, Maintenance, and Insurance) contract with SAS, which took effect on January 1, 2025. Under this arrangement, Braathens utilizes its ATR fleet to feed major SAS hubs, primarily Stockholm Arlanda and Copenhagen Kastrup.

However, transitioning to a pure ACMI model required significant financial maneuvering. Between late 2025 and early 2026, Braathens initiated a court-supervised financial reorganization for its parent company and its ATR operating subsidiary to reduce debt and renegotiate existing contracts. During this same period, its Airbus subsidiary, Braathens International Airways, filed for bankruptcy.

To ensure the stability of its vital regional feeder network, SAS stepped in with a financial lifeline. In February 2026, SAS provided Braathens with a SEK 50 million (approximately €4.75 million) loan, securing exclusive access to Braathens’ ATR capacity and aiding the regional carrier through its restructuring process.

AirPro News analysis

We view this sale and leaseback transaction as a textbook example of how airlines utilize asset financing to navigate complex corporate restructurings. SLB transactions are a vital financial tool; by monetizing owned assets, airlines like Braathens can generate immediate cash flow to cover operational costs or service debt without disrupting their flight schedules or jeopardizing major contracts, such as the lucrative SAS ACMI agreement.

Furthermore, this deal underscores two broader trends in the European aviation sector. First, there is a clear move toward regional aviation consolidation and outsourcing. Major flag carriers like SAS are increasingly relying on specialized wet-lease partners to operate lower-demand regional routes, optimizing operating costs while maintaining network breadth. Second, the transaction highlights the enduring resilience of the turboprop market. The ATR 72-600 burns up to 40% less fuel and emits 40% less CO2 compared to similar-sized regional jets. In the Scandinavian market, where environmental regulations are stringent and sustainability goals are paramount, the operating economics and environmental profile of the ATR 72-600 make it a highly attractive asset for both operators and lessors.

Frequently Asked Questions

What is a Sale and Leaseback (SLB) transaction?

A sale and leaseback is a financial transaction where an airline sells an aircraft it owns to a leasing company and immediately leases it back. This allows the airline to free up capital tied up in the asset while continuing to operate the aircraft without interruption.

Why did Braathens restructure its business?

Facing a slow recovery in the domestic market, Braathens discontinued its independent scheduled passenger flights in late 2024. The airline pivoted to a wet-lease (ACMI) model, signing a major contract to operate flights exclusively for SAS. The costs associated with this transition led to a court-supervised financial reorganization in late 2025 and early 2026.

Sources

• ACIA Aero Leasing Press Release
• Industry Research Data

This article is based on an official press release from the Bureau of Transportation Statistics.

U.S. scheduled service airlines experienced a historic surge in aviation fuel costs during March 2026, driven by a combination of increased seasonal consumption and a severe spike in the cost per gallon. According to an official press release from the Department of Transportation’s Bureau of Transportation Statistics (BTS), total fuel expenditures for the month eclipsed $5 billion.

This dramatic 30.9 percent month-over-month increase in fuel prices is directly linked to the outbreak of the 2026 Iran War in late February. The resulting closure of the Strait of Hormuz disrupted approximately 20 percent of global oil supplies, sending shockwaves through the global aviation industry.

As airlines grapple with these sudden operational cost increases, the ripple effects are already being felt across passenger airfares, global air cargo demand, and the strategic procurement of Sustainable Aviation Fuel (SAF).

March 2026 Fuel Data Breakdown

Expenditure and Consumption

The BTS reports that U.S. airlines spent $5.06 billion on fuel in March 2026. This figure represents a staggering 56.4 percent increase from February 2026, when expenditures totaled $3.23 billion, and a 30.4 percent increase from March 2025 ($3.88 billion).

Fuel consumption also saw a notable rise. Airlines consumed 1.615 billion gallons of fuel in March 2026, which is 19.5 percent more than the 1.352 billion gallons consumed in February 2026, and a slight 0.4 percent increase compared to March 2025 (1.609 billion gallons).

Cost Per Gallon Surge

The most significant metric driving the expenditure spike is the average cost per gallon. According to the BTS, the average cost reached $3.13 in March 2026. This marks a jump of 74 cents, or 30.9 percent, from February 2026 ($2.39), and a 72-cent increase (29.9 percent) from March 2025 ($2.41).

Geopolitical Drivers: The 2026 Middle East Energy Crisis

The Strait of Hormuz Closure

The dramatic rise in domestic fuel costs is a direct consequence of global geopolitical events. In late February 2026, military conflict escalated in the Middle East, leading to the restriction of nearly all maritime traffic through the Strait of Hormuz.

This critical chokepoint normally handles about 20 percent of the world’s seaborne oil supply. The International Energy Agency (IEA) highlighted the severity of the situation in a recent assessment of the crisis:

The situation represents the largest supply disruption in the history of the global oil market.

Consequently, Brent crude prices surged by 46 percent in March 2026. The International Air Transport Association (IATA) reported that global jet fuel prices rose 106.6 percent year-over-year in March, alongside a massive 320 percent surge in refining margins.

Industry Impact: Fares, Cargo, and Retail Spikes

Rising Airfares and Surcharges

Jet fuel is typically the single largest operating expense for airlines, accounting for 20 to 35 percent of total costs. In response to the March price spikes, several international carriers immediately raised fares and fuel surcharges to protect their profit margins. Industry research indicates that Cathay Pacific doubled its long-haul fuel surcharge to $149, while Air India and Air France-KLM also implemented significant surcharge increases for international flights.

Air Cargo Declines

The Middle East disruptions and rising operational costs have heavily impacted global logistics. According to IATA data, there was a 4.8 percent year-over-year decline in global air cargo demand in March 2026. Middle Eastern carriers experienced a severe 54.3 percent drop in demand due to airspace and hub disruptions.

General Aviation Hits $10 per Gallon

While the BTS reported an average of $3.13 per gallon for commercial airlines, the retail market saw even more extreme spikes. Retail jet fuel prices at some U.S. Fixed Base Operators (FBOs) for private and general aviation reached as high as $10 per gallon in the Northeast by early March, driven by the market’s risk premium.

The Push for Sustainable Aviation Fuel (SAF)

Achieving Price Parity

The vulnerability of conventional jet fuel supply chains has accelerated interest in alternative energy sources. With conventional jet fuel spiking to a record $1,800 per metric ton in Europe in mid-March, Sustainable Aviation Fuel (SAF) has inadvertently become more economically viable. Airlines holding pre-crisis, long-term SAF offtake agreements are now finding those contracts priced at or near parity with current spot conventional jet fuel prices.

AirPro News analysis

We assess that the financial toll of the Strait of Hormuz closure, evidenced by the $5.06 billion spent by U.S. airlines in a single month, will likely serve as a permanent catalyst for the aviation industry’s green transition. The crisis has laid bare the urgent need for energy independence in the aviation sector. As governments and defense sectors invest more heavily in rapidly deployable synthetic fuel production and SAF infrastructure, airlines will likely shift their long-term procurement strategies to mitigate exposure to future geopolitical shocks. Furthermore, consumers should brace for these elevated costs to trickle down into summer travel plans via higher base fares and sustained fuel surcharges.

Frequently Asked Questions

Why did U.S. airline fuel costs spike in March 2026?

The 30.9 percent increase in the cost per gallon was primarily driven by the outbreak of the 2026 Iran War in late February, which led to the closure of the Strait of Hormuz and disrupted 20 percent of the global oil supply.

How much did U.S. airlines spend on fuel in March 2026?

According to the Bureau of Transportation Statistics, U.S. scheduled service airlines spent $5.06 billion on fuel in March 2026, a 56.4 percent increase from February 2026.

Will this affect passenger airfares?

Yes. Jet fuel is a major operating expense for airlines. Several international carriers have already raised fares and fuel surcharges to offset the rising costs, and these increases are expected to impact upcoming summer travel.

Sources

• Bureau of Transportation Statistics