Update: the impact of the Middle East situation on air freight shipments

Air freight situation

DSV is closely monitoring developments in the Middle East and continuously aligns its operations with airlines, partners and local authorities. The safety of our employees and the continuity of our operations and customers’ supply chains remain our top priorities.

Airlines are currently operating with significantly reduced capacity. Freight services are only partially maintained, primarily for repositioning, cargo and repatriation flights. At the same time, a few commercial flights remain suspended, keeping available capacity extremely limited.

Shift in trade routes

The impact of the situation is now visible worldwide. Traditional routes via the Middle East are being avoided, causing cargo flows to shift towards alternative hubs:

• Cargo from Southeast Asia, the Indian subcontinent and Oceania is increasingly routed via China and Hong Kong.
• Transit capacity via the Middle East has declined significantly.
• Direct flights between Asia and Europe are increasing to bypass the region.

This shift is placing additional pressure on corridors that were previously less congested.

Capacity and rate developments

The current situation is having a direct impact on both capacity and pricing across the global air freight network:

• Reduced global capacity due to diversions, longer routes and suspended services.
• Capacity constraints on key trade lanes, particularly Far East–Europe and Asia–Middle East.
• Rate volatility, with upward pressure on air freight rates.
• Potential war risk surcharges for shipments routed via or near affected areas.
• Rising fuel costs, potentially leading to higher fuel surcharges.

Market developments indicate that rates on certain routes may increase rapidly, with strong week-on-week rises driven by limited capacity.
In addition, structural factors are continuing to exert pressure on rates, such as reduced capacity at key hubs, rising energy prices and increasing risk premiums.

What does this mean for your shipments?

In the coming period, you should consider:

• Possible delays or cancellations
• Limited availability of cargo space
• Longer transit times due to rerouting
• Short-term rate fluctuations

As the situation continues to evolve, flight schedules and routes may change at short notice.

How can DSV support you?

To minimise the impact on your supply chain, DSV supports you with:

• Optimal use of available capacity
• Deployment of alternative routes and gateways
• Proactive updates on market developments and rates
• Tailored advice per shipment

Do you have shipments planned or in transit and require advice on the best transport options? Please contact your regular DSV representative.

We will continue to monitor the situation closely and keep you informed of any new developments.