Tel Aviv - New York airfares fall sharply

New York City credit: Shutterstock
New York City credit: Shutterstock

With the holiday season over and five carriers competing on the route, fares have fallen sharply despite increasing fuel prices.

Until a month and a half ago, the Tel Aviv- New York route was served by only two airlines: El Al and Arkia. Even though US carriers Delta and United resumed flights to Israel after a hiatus of over six months and Israir also joined the fray by launching flights to the US, demand during the holiday season far outstripped the increased supply, causing fares to skyrocket. However, it is now safe to say that increased competition is beginning to have an impact.

For instance, about a month and a half ago, lastminute.co.il conducted an analysis of flights for October (excluding the holiday period). At that time, before Israir had entered the market, the findings showed that the average round-trip fare (including baggage) was $1,980 on Delta, $1,844 on United, $1,459 on El Al, and $1,359 on Arkia.

The Israeli travel-tech company has now conducted a follow-up analysis for the second half of October, revealing an average price drop of 25%. The average price on Delta now stands at $1,245 (a 37% decrease), and on United at $1,237 (a 33% decrease). A decline was also found on the Israeli carriers, though it was more moderate: the average price on El Al was $1,270 (a 13% decrease), and on Arkia, $1,265 (a 7% decrease).

Lower demand for US travel amid elections

While the decline can be partly attributed to reduced demand for travel to the US, linked to the election period and Israelis' desire to be in the country to vote, fares for November remain at levels similar to those seen in the second half of October, with even a slight decrease.

The average fare across the five airlines examined is roughly $1,223. Israir offers the lowest average fare at $1,135, followed by United ($1,190), Arkia ($1,230), Delta ($1,265), and El Al ($1,295).

"A drastic shift has occurred over the past month and a half. The US carriers, which were significantly more expensive in early September, have seen their fares fall by more than 30%; today, their fares are nearly identical to those of the Israeli airlines," says lastminute.co.il. VP marketing Asaf Greenberg.

He adds, "Fares remain at this same level through November as well, suggesting that this is more than just an isolated occurrence limited to a few dates in October. It is also worth noting that the strengthening of the shekel against the dollar further contributes to the lower fares actually experienced by Israeli consumers. The competition that has returned to the route is finally beginning to be reflected in the price the consumer pays."

"Fuel prices have risen. It’s like buying at $900."

Despite the drop in fares, the situation may be somewhat more complex. According to data from the digital agency SkyGini, fares in October fell about 18% compared with the summer. However, the agency notes that this is a seasonal decline typical of the entire aviation industry, driven by fluctuations in demand. When compared with last year and previous years, the agency states, there has been no major change on the Tel Aviv - New York route.

Nevertheless, speaking last week at the "Investment Generation" festival, hosted by the financial firm "The Financial House" in partnership with *Globes," Israir CEO Uri Sirkis pointed to another factor to consider when assessing fares. "It is important to remember that the price of fuel has risen significantly since last year - by about $700 per ton," he said. "A wide-body aircraft consumes 6 tons of fuel per flight hour. On long-haul flights, this can amount to $80,000 per flight. Therefore, when you see a ticket priced at $1,200 today, it is equivalent to having purchased it for $900 last year. Had the other airlines not entered the market, and had we been left with limited supply, prices would have been in the neighborhood of $1,800."

Last week, the SuperFly credit card club, part of the Rami Levy Group, launched a promotion. Under this offer, existing cardholders and new members can book a flight to New York for $909, valid for various dates through the end of March 2027. The price includes a bag in the hold (up to 23 kg) and a carry-on bag. According to the company, there are hundreds of tickets available.

Not just flights with stopovers: there are also bargains to be found

Beyond the average fares, there are also "bargains." For instance, a check by lastminute.co.il found United Airlines flights starting at about $790 for the last week of November. Israir also offered fares starting from around $990, though these were limited to a small number of flights toward the end of October and November.

Those who book flights with stopovers can reach New York at even lower prices. According to information published by Secret Flights, there are connecting flights, for example, with Condor for $600 round-trip, or even less.

Looking further ahead, fares are stabilizing at under $1,000. For instance, according to an analysis by travel site Gulliver, there are round-trip flights with Delta in mid-January for $878, while tickets for early March were found for as little as $773 with El Al. According to Secret Flights, it is even possible to find round-trip flights for $650 with Delta early in 2027.

"The return of the US carriers, alongside Israeli carriers that have begun operating on this route, represents a significant development for the market for flights to the US," explains Gulliver CEO Tamar Gerzon. "During the period when supply was limited, this was clearly reflected in both the fares and the options available to travelers. Now, with the addition of more airlines, routes, and seats, competition is beginning to return."

Published by Globes, Israel business news - en.globes.co.il - on October 22, 2026.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2026.

New York City credit: Shutterstock
New York City credit: Shutterstock
Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018