Shippers Use Los Angeles Routes to Bypass Middle East
Shippers route goods through Los Angeles to avoid high air rates and Middle East congestion. Regional capacity has dropped 50% amid ongoing trade disruptions.
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Global logistics providers are increasingly turning to unconventional shipping routes as high jet fuel prices and maritime gridlock in the Middle East disrupt traditional trade lanes. Despite a recent ceasefire between Iran and the United States, industry experts suggest that the logistical strain is unlikely to dissipate quickly. Some shippers are now moving electronics and consumer products from Asia to Europe via Los Angeles, combining ocean and air transport to bypass regional volatility.
It is a lot faster than going by ocean around (the southern tip of Africa), but much, much cheaper than doing air direct.
