Impact on Air Freight due to the Middle East Situation.

Disturbances between Iran and Israel could significantly impact air cargo operations, with far-reaching consequences for global trade and commerce. 

Currently there is potential for reduced capacity where Airlines may suspend or reduce flights to and from the region due to safety concerns. There could be congestion and delays in the Middle Eastern air cargo hubs like Dubai, Abu Dhabi, and Istanbul, which serve as major cargo hubs. 

There is also refuelling challenges with some airports potentially closed, air cargo carriers could face difficulties finding suitable refuelling stops.

There could be an effect on global supply chains, particularly for time-sensitive goods. With all of this ongoing there is also a potential for an increase in transportation costs with higher fuel costs, longer routes and higher rates.

Air freight rates spiked in October last year following the initial escalation in conflict between Israel and Hamas, so a further deterioration in the political situation could have similar repercussions for the market

 Do contact our team to find out more and we will keep you updated on the situation. 

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