The conflict in the Middle East is impacting air freight, leading to rising rates and a decrease in capacity.

The global air freight sector is facing significant challenges due to the ongoing Middle East conflict, which has disrupted capacity, increased costs, and raised concerns about market growth through 2026. Air freight rates are rising, and capacity has dropped by about 30% in the region. Stakeholders are shifting towards shorter contracts amid uncertainty, and increased spot market activity reflects reduced confidence in long-term pricing. While demand may temporarily rise if ocean shipping falters, the overall situation hinges on the conflict's duration and its broader economic impact.