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AIR New Zealand Ltd. may have to delay purchases of new aircraft or raise fresh funds as soaring fuel prices further strain the finances of the unprofitable airline, according to analysts.

The Auckland-based company this week scrapped its full-year earnings guidance and said it would cut 5% of domestic and international flights between March 16 until May 3 to combat “unprecedented volatility in jet fuel prices.” Even before the Iran War, the carrier was beset by engine maintenance requirements, plane delivery delays and tepid domestic demand.

A sustained increase in fuel prices might force the airline to seek additional capital, said Andy Bowley, head of research at Forsyth Barr.

“I don’t think you can rule that out as a potential scenario if fuel prices stay much higher, for much longer,” said Bowley, who rates the carrier underperform. “We’re talking about a business that was already challenged.”

Air New Zealand’s situation underscores the exposure of the aviation sector to geopolitics and global shocks, even for airlines far away from the war zone and who don’t fly to the Middle East. Airlines around the world are responding by increasing fares and fuel surcharges, but the rising costs pose a risk to carriers that were already financially frail, such as the Kiwi carrier. 

Air New Zealand didn’t respond to questions on the potential need to raise capital or delay plane purchases. 

The company swung to a pretax loss of NZ$59 million ($35 million) in the first half ended Dec. 31, a bigger deficit than expected, Its second-half performance could be even worse, the airline said Feb. 26 before the war broke out. It has since warned that the conflict will “meaningfully” impact second-half results.

At the end of December, Air New Zealand had NZ$1.09 billion in cash and equivalents, down from NZ$1.44 billion six months earlier, according to filings last month. The airline said it had planes valued at about NZ$2.3 billion that offered “a strong source of contingent liquidity.” New Chief Executive Officer Nikhil Ravishankar is undertaking a strategic review.

Any cost cuts Ravishankar identifies may not be sufficient to alleviate wider financial strains, said Grant Lowe, an analyst at Jarden Research in Auckland. 

“It’s probably not going to be enough to address everything,” Lowe said. “Other options include deferring planned fleet purchases or potentially looking to raise equity.” 

Lowe estimates that Air New Zealand is due to spend about NZ$3.4 billion on its fleet in the next five years.

Shares in Air New Zealand have tumbled around 20% since the start of the Middle East conflict. The stock was down 2.2% to 44.5 New Zealand cents on Friday, valuing the business at about NZ$1.4 billion. The New Zealand government owns a little over 50% of the company. 

Shares in Singapore Airlines Ltd. and Cathay Pacific Airways Ltd. have lost about 8% since the war began.

Net debt of NZ$1.96 billion was 2.6 times earnings before interest, tax, depreciation and amortization on Dec. 31. That’s above the company’s target multiple of 1.5 to 2.5 times. Now the war has dimmed the prospect of a profit rebound that could reduce leverage.

Speaking to local media outlet NZME on Friday, Finance Minister Nicola Willis said she was in regular contact with Ravishankar, and she had confidence in its board and management. “They’re being responsible, they’re taking the steps they need to do, to ensure that their business remains viable during a period when the jet fuel price has roughly doubled,” she said.

Jet fuel prices, which were around $85 to $90 per barrel prior to the conflict, had increased to between $150 to $200 a barrel, the airline said March 10 as it scrapped full-year guidance.–BLOOMBERG

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JAPAN and other Asia-Pacific nations are set to unveil at least $30 billion worth of agreements with US companies this weekend, as Trump administration officials descend on Tokyo to press for more collaboration with regional allies on energy and critical minerals.

The deals will take the form of purchase commitments and other transactions spanning a range of products and sectors, including coal, oil, liquefied natural gas and nuclear power, according to White House officials, who asked not to be named before the announcements.

The flurry of activity comes in the run-up to Japanese Prime Minister Sanae Takaichi’s visit to Washington on March 19 and US President Donald Trump’s planned trip to Beijing to meet Chinese President Xi Jinping in roughly three weeks.

The first-ever US-sponsored Indo-Pacific Energy Security Ministerial and Business Forum in Tokyo comes as the White House seeks to diversify US supply chains for the critical minerals used in mobile phones, batteries, jet engines and other products. Under Trump, the US has already taken steps — including buying stakes in mineral companies — to wean itself off supplies from China after a trade dispute halted the flow of some materials last year.

A phalanx of American government officials are attending the summit being organized by the US Trade and Development Agency — including more than a dozen representatives from at least five cabinet-level departments as well as the White House, its National Energy Dominance Council, the USTDA and the US Export-Import Bank. Overall, some 18 nations are set to participate, including Australia, Bangladesh and South Korea.

The Middle East war — and the energy-related disruptions it’s spawned — are set to heighten the intensity of discussions, underscoring the benefits of diversifying supplies of natural gas and other commodities. The suspension of LNG exports from Qatar’s state-owned energy company — long viewed as the world’s most reliable supplier — has highlighted the risk of relying on one region for critical energy supplies and could give a commercial boost to US rivals.

Trump’s energy-dominance agenda “is about making sure that we have prosperity at home” as well as “enough energy to be able to sell to our friends and allies, so they don’t have to buy from our adversaries or be threatened by our adversaries in terms of their supply chains,” Interior Secretary Doug Burgum told reporters while traveling to Tokyo Friday. “That policy is more important than ever.”

Ministers are set to huddle in closed-door discussions centered around the view that dependable energy supplies developed in partnership with trusted allies are essential for regional stability, economic growth and competition in an AI-fueled environment. Critical minerals will be a particular focus, a White House official said. 

While Washington is seeking to diversify its mineral supply chains, Trump administration officials are also making the case for other countries to buy from the US.

“With growing production capacity and a proven record as a dependable energy partner, the United States is delivering the fuels, minerals and technologies that power resilient economies and secure supply chains for the American people and our allies alike,” said Burgum, who also heads Trump’s NEDC.

At least one deal set to be discussed over the two-day weekend event has previously been announced: Venture Global Inc.’s long-term contract to supply 1.5 million tons a year of LNG to a subsidiary of South Korean conglomerate Hanwha Corp. But others will be new, a White House official said.

Bilateral talks between US and Japanese ministers will help set the stage for Takaichi’s meeting with Trump next week. By hashing out where partnerships can be made they’ll help set the table for the White House talks, one of the officials said. –BLOOMBERG

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SINGAPORE’S efforts to diversify its energy sources are paying off as war in the Middle East pushes up prices, but the government is still ready to act if needed, said Alvin Tan, Minister of State for Trade & Industry and National Development.

“We are monitoring the situation in the Middle East very carefully and we will step in to support households and businesses if necessary,” Tan said in an interview with Bloomberg TV’s Haslinda Amin. “Singapore is an open economy so we import the vast majority of our energy, and energy is an existential issue for Singapore.”

Singapore is among countries vulnerable to supply chain shocks from the Iran war as an import-dependent, trade-driven economy. Surging oil prices from the war’s disruption of energy markets, especially over a prolonged period, could feed into higher prices of everything from airfares to plastics.

Over the past few years, Singapore has been moving to diversify its energy sources, including through emerging technologies like nuclear power and solar energy, Tan said. The government also announced rebates for households’ utilities expenses in the 2026 budget.

“We have measures in place for short-term shocks but more importantly, we have long-term plans to refresh our economic strategy,” he said.

Tan said it was too early to see if Singapore was benefiting from capital shifting from the Middle East as a result of the US and Israeli war on Iran, but that recent years had seen the city-state attract inflows.

“Capital flows as well as fixed assets into Singapore have been growing,” Tan said. “The key part is to make sure Singapore remains open, connected, as well as stable so that investments can come.”

On trade, Tan said Singapore is in talks with the US over disputed data on the two countries’ commerce.

On Thursday, the city-state said it ran a trade deficit with the US in 2024, disputing figures from Washington that showed the city-state posted a surplus. 

Singapore’s statement came after the Office of the US Trade Representative announced this week that it had launched investigations under Section 301 of the Trade Act of 1974 into the acts, policies and practices of 16 economies, including Singapore. The probes, focused on structural excess capacity and production in manufacturing sectors, suggested that Singapore is contributing to global manufacturing overcapacity.

“I doubt that the trading relationship between the US and Singapore will be affected,” said Tan. “We have a strong trading relationship. Our officials speak to each other. We are a phone call away. Where there is miscommunication, we’re quick to be able to clarify or seek clarification.” –BLOOMBERG

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THE US has issued its second authorization for buyers to take Russian oil cargoes already at sea, widening a temporary waiver given last week to India alone in an effort to ease pressure on prices as the war in the Middle East continues.

Treasury Secretary Scott Bessent, in a social media post, said the move was designed to be a “narrowly tailored, short-term measure” that “applies only to oil already in transit and will not provide significant financial benefit to the Russian government.”

The US government has taken a number of steps to tame spiking crude and fuel prices since strikes on Iran began almost two weeks ago, such as the planned release of 172 million barrels from its emergency oil reserve. It has floated other ideas, ranging from intervention in the futures markets to waiving a century-old law that requires US ships be used to transport goods between American ports. 

The impact has not yet been dramatic, however, with Brent crude trading around $100-a-barrel on Friday. 

.@POTUS is taking decisive steps to promote stability in global energy markets and working to keep prices low as we address the threat and instability posed by the terrorist Iranian regime.

To increase the global reach of existing supply, @USTreasury is providing a temporary…

— Treasury Secretary Scott Bessent (@SecScottBessent) March 12, 2026

Analysts said the latest move to add supply would be welcomed, but did not represent a fix.

“Of course any supply helps, but this is a smaller help than it looks,” said Robert Rennie, head of commodity research at Westpac Banking Corp. He estimated that out of 125 million to 150 million barrels of Russian crude on the water, about a third is off China and likely to end up in storage, with 30 million to 40 million barrels in India and likely to be consumed there. The rest is in the Mediterranean and the Atlantic.

“We are only really talking about replacing maybe four or five days of lost Gulf exports. Sure, it helps, but it is no panacea,” he added.

The latest measure, which expands upon a temporary waiver granted to India last week, applies to oil loaded before March 12 and runs for a month — limiting the number of vessels that can reach major buyers in time.

According to Bloomberg ship-tracking data, about 30 vessels in Asian waters are carrying Russian crude and products that are potentially available for purchase. The vessels are signaling “for orders” — meaning they have no clear destination yet — or targeting Singapore or Malaysia, waters where tankers tend to linger while cargoes are sold.

Bessent has previously suggested the US could “unsanction” additional Russian oil to ease price pressure.

“If oil prices spike again, perhaps because Iran steps up its attacks on oil tankers in the Strait of Hormuz, pressure to lift Russia sanctions will build further,” Robin Brooks, a senior fellow at the Brookings Institution, said in a social media post. 

Bessent said earlier on Thursday that any benefit for Russia from US actions would be “unfortunate” and short-term. “We hope that it will be a micro period that they will benefit,” he said on the Master Investor Podcast with Wilfred Frost.  –BLOOMBERG

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HSBC Holdings Plc and Standard Chartered Plc are set to be among the first licensed stablecoin issuers in Hong Kong, giving two of the city’s note-issuing banks a central role in the government’s effort to become a digital-asset hub.

The two banks will be in the first batch of approvals as authorities prioritize institutions already authorized to issue banknotes, according to people familiar with the matter.

The Hong Kong Monetary Authority prefers bank-led stablecoin issuers because they are well capitalized and can provide greater safety while promoting broader adoption, the people said. 

Standard Chartered declined to comment, and HSBC did not immediately respond to a request for comment. The HKMA said it doesn’t comment on market rumors.

The city’s de facto central bank said last month that the first stablecoin licenses could be issued as early as March and that it had received 36 applications.

News of the banks’ impending approval was previously reported by the South China Morning Post. 

Hong Kong has been pushing ahead with ambitions to become a crypto hub through a series of regulatory measures first announced in 2022. In addition to introducing a license for cryptocurrency exchanges, the government announced plans to license issuers of stablecoins — a type of cryptocurrency designed to maintain a consistent value with backing from another asset, typically US dollars.

Hong Kong requires any issuers of Hong Kong dollar-backed stablecoins to be licensed by the HKMA.

In 2024, the government initiated a sandbox for stablecoin issuers. Participants included a Standard Chartered joint venture with Animoca Brands Corp. and Hong Kong Telecommunications Ltd., as well as Jingdong Coinlink Technology and RD InnoTech Ltd.

Hong Kong policymakers have said only a “small number” of licenses would initially be approved to ensure stablecoins have real-world use cases, and that issuers maintain sustainable business models with strong regulatory compliance. –BLOOMBERG

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SEREMBAN — Malaysia has described Israel’s move to close the Al-Aqsa Mosque as immoral and extremely heinous, saying it prevents Muslims from performing prayers at one of Islam’s holiest sites.

Foreign Minister Datuk Seri Mohamad Hasan said the action took place while Palestinians continued to face violence, including the killing of innocent women, children and civilians.

“In this month of Ramadan, they (Israel) have taken another heinous action by closing the Al-Aqsa Mosque to Palestinians who wish to perform their prayers. This is an immoral and most heinous act, as it prevents Muslims from accessing a place of worship.

“Malaysia strongly condemns this action, and I believe many other countries will also condemn this immoral act,” he told reporters after the Iftar with the Rembau UMNO division leaders here last night.

Mohamad said Israel should immediately reopen the Al-Aqsa Mosque to allow Muslims, particularly Palestinians, to perform their prayers, including the obligatory prayers, tarawih and the upcoming Aidilfitri prayers.

Yesterday, Malaysia also strongly condemned the continued actions of the Zionist Israeli regime in closing the doors of the Al-Aqsa Mosque/Al-Haram Al-Sharif to Muslim worshippers, especially during Ramadan.

In a statement, the Foreign Ministry said the discriminatory and arbitrary restrictions on access to the Old City of Jerusalem and its places of worship constitute a clear violation of international law, as well as longstanding arrangements governing the holy sites in Jerusalem.

Meanwhile, the foreign ministers of Indonesia, Egypt, Jordan, Pakistan, Qatar, Saudi Arabia, Türkiye and the United Arab Emirates, in a joint statement yesterday, also urged Israel to immediately stop closing the entrances to the Al-Aqsa Mosque compound.

They also condemned the continued restrictions preventing Muslims from accessing the area, particularly during the holy month of Ramadan. — BERNAMA

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ISTANBUL — Iran’s new Supreme Leader, Mojtaba Khamenei, announced on Thursday that the Strait of Hormuz must remain closed as the action has been taken in retaliation for the US-Israeli strikes that began on Feb 28, Anadolu Ajansi (AA) reported, citing local media.

“The desire of the masses of the people is the continuation of effective and regret-inducing defence,” Khamenei added in his first public message since his appointment as the supreme leader, according to Iran’s state-run media.

Iran has made assessments on opening other fronts as part of the ongoing conflict, “where the enemy has little experience and where it would be highly vulnerable,” Khamenei noted.

Activating these fronts might take place “if the war situation persists and in accordance with the considerations of national interest,” he said, while also calling for participation in Quds Day ceremonies “where the spirit of resistance against the enemy should be highlighted.”

Tehran will “avenge the blood of Iranians” who have been killed during the attacks, he further said.

Tensions gripped the Middle East after Israel and the US launched joint attacks on Iran on Feb 28 and have so far killed more than 1,300 people, including Ali Khamenei, the country’s former supreme leader, and more than 150 schoolgirls.

More than 10,000 people were also injured in the Israeli and US attacks.

Tehran retaliated with drone and missile strikes targeting Israel, Jordan, Iraq, and several Gulf countries hosting US military assets. Eight US service members have been killed since the war began.

Mojtaba was declared earlier this week the successor of his father, Ali Khamenei. — BERNAMA-ANADOLU

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PARIS – Here are the latest economic events in the Middle East war on Friday:

US eases Russia at-sea oil sales

The United States is temporarily allowing the sale of Russian oil that is at sea, the Treasury Department said, as energy prices soared after US-Israeli strikes on Iran plunged the Middle East into war.

The move marked a momentary easing of economic sanctions against Russia, which has been targeted over its invasion of Ukraine.

Iran threatens oil and gas sector 

Iran has threatened to “set the region’s oil and gas on fire with the slightest attack on Iran’s energy infrastructure and ports”, said a spokesman for its military central operational command.

Brent crude up, Asian stocks down

Brent crude inched further above $100 a barrel and stocks fell in early Asian trade on Friday, after Iran vowed to attack oil resources in the Middle East and keep choking the Strait of Hormuz.

The rise in energy prices could cause price hikes throughout the global economy.

Australia slams petrol price-gouging

Australia’s energy minister warned Friday against “dangerous” price gouging of petrol as he relaxed rules on how much fuel companies needed to hold in stock in a bid to boost supply.

The country, which relies on oil imports for fuel, has seen petrol prices spike due to panic buying since the outbreak of the war.

Iran vows to keep Strait of Hormuz closed

Iran’s new supreme leader Mojtaba Khamenei called for using “the lever of blocking the Strait of Hormuz”, which the country’s Revolutionary Guards vowed to carry out.

The strait is a key waterway through which a fifth of global crude passes.

Earlier, Energy Secretary Chris Wright said the US military was “not ready” to escort tankers through the strait as all its assets are focused on striking Iran.

‘Historic’ fallout: IEA

The Middle East war “is creating the largest supply disruption in the history of the global oil market” as Iran’s chokehold on regional supplies forces Gulf producers to slash production, the International Energy Agency said.

It noted that crude production is down by at least 8.0 million barrels per day.

Deadly attacks on tankers off Iraq 

An attack on two oil tankers off Iraq killed at least one crew member, an Indian national, as Iran pressed a campaign to disrupt global energy markets in retaliation for US and Israeli strikes.

The other crew members were rescued, Farhan Al-Fartousi, from Iraq’s General Company for Ports, told AFP.

Cargo ship catches fire after hit with shrapnel 

German shipping group Hapag-Lloyd said that one of their cargo vessels in the Gulf caught fire after being “hit with shrapnel” overnight, adding that no one was injured.

“We don’t know where (the debris) came from, whether it was a rocket or a drone” or another munition, a company spokesman told AFP.

– Drone falls near Dubai finance hub –

A drone fell near Dubai’s financial district, an AFP journalist saw, a day after some companies evacuated the area following Iranian threats against economic targets linked to the US and Israel.

Kuwait’s international airport also saw damage from drone attacks, civil aviation said.

China cuts refined oil exports

China has tightened export curbs on refined oil products, Bloomberg News reported, as Beijing seeks to shield its economy from the war.

The world’s second-largest economy is the biggest importer of crude oil, with its refining operations mainly serving the country’s massive domestic market.

Countries try to limit cost pressures

South Korea said a fuel price cap would be imposed to mitigate pressure on the country’s energy supply during the Iran war, the first such measure introduced there.

Spain’s government also said it would soon present a plan to contain the war’s impact on electricity and fuel prices. –AFP

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BRENT oil traded near $100 a barrel following one of the most volatile trading weeks ever, with investors bracing for more upheaval as Iran pledged to keep the Strait of Hormuz effectively shut.

The global oil benchmark fluctuated on Friday after rising 9.2% in the previous session, while West Texas was near $95, following a week of dramatic swings. In his first public comments since succeeding his father, Iran’s new supreme leader Mojtaba Khamenei said the Islamic Republic would seek to ensure the critical waterway for crude and natural gas stayed closed.

In a further effort to try and tame surging prices, the US granted its second temporary waiver for the purchase of Russian oil. The latest measure, which is for crude that was loaded onto vessels before March 12, is broader than a directive earlier this month that only cleared India to boost buying.

.@POTUS is taking decisive steps to promote stability in global energy markets and working to keep prices low as we address the threat and instability posed by the terrorist Iranian regime.

To increase the global reach of existing supply, @USTreasury is providing a temporary…

— Treasury Secretary Scott Bessent (@SecScottBessent) March 12, 2026

The International Energy Agency warned on Thursday that the supply disruption is the largest in the history of the global oil market, a day after its members agreed to a historic release of emergency reserves to try and cool prices. US President Donald Trump also struck a defiant tone, offering little relief to energy markets as the war in Iran nears its third week.

The near-halt to shipping through the narrow Strait of Hormuz near Iran and the Arabian Peninsula has choked off shipments of crude, natural gas and products such as diesel to global customers, driving up energy prices. It’s raised fears of an inflation crisis and is starting to hit some economies.

“This is the most important oil supply disruption event since 1970s,” said Philip Jones-Lux, senior market analyst at Sparta Commodities, referring to previous Middle East supply shocks. The IEA release helps to keep prices from going to “stratospheric levels,” but probably only for a short period, he added.

Iran has started laying mines in the Strait of Hormuz, the New York Times reported, citing US officials, which will make shipping even more perilious for those considering passing through the waterway. Since the war began on Feb. 28, vessel traffic through the channel has slowed to a trickle.

The US Navy could start escorting tankers through strait by the end of March, Energy Secretary Chris Wright said on CNBC. Earlier this week, he wrote in a now-deleted social media post that the Navy had successfully escorted a tanker through the channel, a claim later walked back by the White House.

“You cannot clear mines during active combat in a risk-free way and the Navy will not want to enter the strait,” said Aaron Stein, president of the Foreign Policy Research Institute. “The risk is intolerable to international shipping and the options the US can provide won’t mitigate it.”

WTI has traded in a band of about $43 this week, the widest range since the depths of the pandemic when prices turned negative. Brent has swung in a range of around $38. Wild swings have being exacerbated by financial flows from options markets to exchange-traded funds.

That volatility is likely to continue with no signs of the war ending soon. In a social media post on Thursday, Trump said preventing Iran from having nuclear weapons and being a threat to the Middle East is “of far greater interest and importance to me” than the cost of oil.–BLOOMBERG

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SINGAPORE said it ran a trade deficit with the US in 2024, disputing figures published by Washington that showed the city-state posted a surplus and challenging suggestions that it is contributing to global manufacturing overcapacity.

The dispute surfaced after the Office of the US Trade Representative announced this week that it had launched investigations under Section 301 of the Trade Act of 1974 into the acts, policies and practices of 16 economies, including Singapore. The probes are focused on structural excess capacity and production in manufacturing sectors.

In a Federal Register notice, the USTR highlighted Singapore as having a bilateral trade surplus with the US in both goods and services amounting to $27 billion in 2024.

Singapore’s Ministry of Trade and Industry said in a statement on Thursday that isn’t borne out by the US’s own data. Citing figures from the US Bureau of Economic Analysis, the ministry said Singapore had a $1.7 billion goods trade deficit and a $25.1 billion services trade deficit with the US in 2024 — leaving it with a total trade deficit of about $27 billion.

The US notice also suggested Singapore has continued expanding manufacturing capacity despite falling industrial occupancy rates. The ministry rejected that characterization, saying industrial space occupancy rates are “very healthy at around 90% and have been consistently so.”

It added that land is scarce and the amount set aside for industrial use has declined over time because of competing needs.

Singapore said it has provided the USTR with its data and will engage the agency to seek clarification on the trade figures and the basis of the Section 301 investigations. It will provide further updates when available and invited businesses and stakeholders to submit feedback.

The exchange underscores the widening scope of Washington’s latest trade offensive. Section 301 investigations can pave the way for retaliatory measures, including tariffs, after a public hearing process. For a trade-dependent hub like Singapore — and for global supply chains that run through it — how the US defines trade balances and manufacturing capacity could carry consequences well beyond bilateral ties.  –BLOOMBERG

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