Air India international traffic plunges 36% as war, airspace curbs hit overseas operations

Air India's international passenger carriage plunged 36% in the April-June quarter, as the US-Iran war and prolonged Pakistani airspace restrictions compounded challenges for the airline and other Indian carriers, according to Directorate General of Civil Aviation (DGCA) data released on Thursday, as reported by Times of India.

The Air India Group, comprising Air India and Air India Express, carried 27.6 lakh international passengers to and from India in the first full April-June quarter since the conflict began on February 28, down from 43.3 lakh in the same period last year.

Also Read: Air New Zealand taps former Air India CEO Campbell Wilson for board


The sharp decline came as Indian airlines bore the brunt of the disruption caused by the conflict, with international passenger carriage by domestic carriers falling 26% during the quarter. In contrast, foreign airlines saw their India carriage rise 7%.

Air India has also been cutting overseas flights since the June 2025 crash near Ahmedabad, adding to the pressure on its international operations.

The conflict has compounded the impact of Pakistan's closure of its airspace to Indian airlines, which has been in place since April last year. The restrictions have particularly affected flights between northern India — with Delhi serving as a major hub for Air India and IndiGo — and western destinations.

Overall, the number of passengers travelling internationally to and from India fell 10.5% in the April-June quarter to about 1.7 crore from 1.9 crore a year earlier, according to the DGCA data.

IndiGo's international passenger carriage also declined 15% to 33.4 lakh from 39.5 lakh in April-June 2025.

Foreign airlines, however, were able to benefit from the disruption and additional capacity created after the war curtailed their West Asia operations. Dubai-based Emirates saw its India passenger carriage rise 7% to 14.8 lakh from 13.8 lakh a year earlier, while Abu Dhabi-based Etihad's traffic remained largely stable at about 8.5 lakh.

Also Read: Air India to stay on expansion course despite challenges

Several Western carriers also increased their India operations as they faced fewer constraints from Pakistani airspace restrictions. Lufthansa carried 3.7 lakh passengers to and from India during the quarter, up from 3.5 lakh a year earlier, while British Airways carried more than 2.9 lakh, compared with about 3.1 lakh in the year-ago period.

The prolonged Pakistani airspace closure has emerged as an additional burden for Indian airlines, forcing them to take longer routes and affecting the economics and scheduling of international operations.

“Pakistan airspace has been closed for 14 months and vice versa. A diplomatic solution has to be found and the situation can’t continue like this to the detriment of Indian carriers. If we can play cricket with Pakistan, surely there can be a resolution to this issue too,” said a senior official of an Indian carrier.