As airfreight volumes decline significantly due to tariffs, particularly those impacting e-commerce and automotive sectors, carriers are reallocating capacity to adapt to changing demand. The end of the de minimis exemption has exacerbated the situation, leading to a projected $22 billion revenue loss in the air cargo sector over the next three years. Many shippers are exploring alternative procurement strategies, including relocating production from China to Southeast Asia and India, in an effort to create a more resilient supply chain amidst ongoing trade uncertainties.
Source: https://www.supplychaindive.com/news/air-cargo-tariffs-de-minimis-freighter-capacity/749577/