Middle East Conflict Drives 70 Percent Rise in Air Freight
Air cargo rates rose 70 percent as Middle East conflict forced rerouting and doubled fuel costs. Shippers are moving goods to air to avoid blocked sea lanes.
Air freight rates have surged by as much as 70% on specific routes following the escalation of the conflict involving the United States, Israel, and Iran. This geopolitical instability has restricted flight paths, disrupted maritime shipping, and caused a sharp increase in jet fuel costs. Industry experts report that routes between South Asia and Europe are the most affected by Middle Eastern airspace closures and security concerns, especially after the conflict left more than 100 container ships stranded near the critical Strait of Hormuz oil export corridor.
Products such as inexpensive generic medicines from India destined for the European Union, Africa, and nations like Saudi Arabia and the United Arab Emirates typically move via container ships. However, pharmaceutical supply chain expert Prashant Yadav noted a significant transition in logistics strategies as companies seek to avoid maritime delays.
