Delta Air Lines will resume flights to Israel on April 1, while United Airlines is set to return on March 15. However, despite their comeback, airfare prices remain steep.
"Today, a $1,500 ticket to the U.S. is considered reasonable," a senior aviation industry source told Calcalist. "We no longer see many airlines offering $1,000 fares to the U.S."
According to the source, base ticket prices have increased, and foreign airlines entering the market compete within a narrow range – about 10% higher or lower than El Al.
"Prices are much higher than in previous years," he said. "The more international airlines return, the greater the competition, but it will be within a high price range. Airlines know they can charge more and still fill seats, so they are not rushing to lower prices."
On Saturday night, Arkia launched its new route to New York, initially developed in collaboration with TechAir, a project by Israel’s high-tech industry aimed at addressing the severe shortage of flights between Israel and the U.S. The initiative has since transitioned to Arkia’s sole management, with three weekly flights on Sundays, Mondays, and Wednesdays.
When the route was announced, Arkia offered introductory fares starting at $1,200 for March. However, by April, ticket prices will jump to around $1,700.
Since August, El Al has implemented a price cap for all destinations, including North America. As of April 2025, the airline’s highest economy-class fare to North America is set at $1,595. In March and May, prices are hovering around $1,500. United Airlines is offering March flights to New York for $1,400, with April fares ranging between $1,450 and $1,650.
For now, competition on the New York route remains limited, as international carriers have yet to restore their full pre-war flight schedules to Israel. The hope is that the return of European airlines, which offer connecting flights to the U.S., could eventually bring prices down.
Low-cost giant Ryanair is also expected to resume operations in Israel in April, increasing competition. However, industry experts warn that airfare prices are unlikely to drop in the near future due to the gradual return of flights, a limited number of available seats – especially ahead of the Passover holiday –and the fact that airlines have seen Israeli travelers willing to pay premium prices.
"Since the end of the COVID-19 pandemic, after two years of grounded planes, ticket prices have been on the rise, and we haven’t seen fares like those before the pandemic," the aviation executive explained. "In Israel, the situation was further impacted by the war. Foreign airlines stopped flying here, El Al dominated the U.S. route, demand outstripped supply, and planes were packed. So when international airlines returned, they adjusted to Israel’s market prices."
Ido Vog, CEO of travel company Issta Sport, says that, for now, no one has an incentive to lower fares.
"Demand is still strong, and it's all about supply and demand," he said. "We’re approaching the end of the war, and people are eager to travel after being grounded for so long. While supply is increasing, it will take time for Israeli consumers to regain trust in foreign airlines. They abandoned passengers when times got tough, so despite rising demand, many Israelis may be hesitant to rely on them again. They’re willing to pay a premium for Israeli carriers to ensure their trips."
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As long as Israeli airlines continue to benefit from high demand and consumer trust, foreign airlines are sticking to current market prices, preventing airfare from dropping.
"This will only change when we have sustained security stability, and major airlines like Lufthansa, Delta, or United operate flights consistently for several months," Vog said. "But that could take time. Not all U.S. airlines have fully restored their routes to Israel, and that continues to affect ticket prices."