Air Cargo Rates Surge as Middle East Conflict Disrupts Global Routes
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Global air cargo rates are surging as the ongoing Middle East conflict forces carriers to bypass traditional Gulf hubs and absorb rising fuel costs.
Average global freight prices climbed to $3.1 per kilogram in the week ending April 5, a 21% increase from a year earlier, according to market data provider WorldACD.
Regional airspace closures have severely constrained international supply chains and triggered a rapid restructuring of aviation networks, adding hours to flight times and imposing war-risk premiums on shippers worldwide.
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- Global air cargo rates reached $3.1/kg (week ending Apr 5), up 21% YoY per WorldACD, despite 9% WoW volume drop.
- Middle East conflict halved Gulf capacity since late Feb; rates from region to Europe/US up 87%/71% YoY; shifts to Turkey, Azerbaijan, Egypt, Saudi hubs.
- Rerouting adds 1-3 flight hours, raises fuel costs; Doha/Bahrain at <7% normal, India faces 5-7 day delays.
- WorldACD
- WorldACD reports average global air freight prices at $3.1 per kg for the week ending April 5, up 21% year-on-year, amid Middle East conflict disruptions.
- VariFlight
- Aviation data provider VariFlight reported cargo connectivity at Qatar’s Doha and Bahrain hubs fell to less than 7% of normal levels. Freight operations in Istanbul, Baku, Cairo, and Riyadh exceeded prewar baselines. Hong Kong-Doha flights sharply reduced, while Hong Kong-Baku traffic nearly doubled.
- C.H. Robinson
- C.H. Robinson, a global logistics provider, states that rerouting flights over Central Asia or North Africa adds one to three hours of flying time, significantly increasing fuel consumption and operating costs.
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