With the Iran conflict driving up fuel prices amid an ongoing cost-of-living crisis, you might expect international travel to plummet and airfares to soar – but it turns out the real picture is a touch more complicated than that.

While airlines have been pruning services and hiking prices, both Qantas and Virgin have launched huge domestic sales to try to woo customers with millions of discounted seats, while Sydney Airport just saw the best quarter for international travel in its history.

On this week's Australian Aviation Podcast, Jake and David try to make head or tail of the unexpectedly topsy-turvy outcomes of the Middle East crisis on our aviation sector, and examine how the world's airspace is being reshaped – for now or for good.

Plus, Western Sydney Airport's new flight paths are locked and loaded – what can Sydneysiders expect when the first cargo planes arrive in July?