Air freight market complexity and volatility continues


Ti-Insight’s latest Air Freight Tracker shows the start of 2025 has proven to be a complex landscape for the global air freight industry. Strong demand, particularly across routes from Asia and Europe, continues to be accelerated by the strong growth of e-commerce and high-value shipments. 

Yet, this momentum coexists with significant challenges: capacity constraints, exacerbated by delayed fleet expansions and airlines prioritizing passenger operations, have tightened market conditions, while supply chain disruptions and evolving trade policies inject uncertainty into planning. Geopolitical tensions, U.S. tariff adjustments, and the elimination of the de minimis threshold have further reshaped buying strategies, prompting retailers to rethink sourcing and nearshoring efforts.

As the year progresses, forecasts of rising demand against modest capacity growth suggest sustained pressure on rates. In this environment, adaptability to trade dynamics and capacity limitations will define success in the months ahead. 

Key Findings:

  • e-commerce and tech driving air freight growth.
  • US trade tariffs creating volatility – transatlantic route remains volatile.
  • Asia-Europe impacted by nearshoring – reducing reliance on China.
  • Air freight demand expected to grow 6% year-on-year, capacity lags at 4% growth.

About Ti’s Air Freight Tracker

Providing an up to date view of current global market conditions and providing rate expectations for the next year, quarter by quarter. Ti tracks key metrics such as freight rates, volumes, capacity, industry sentiment and cost factors: https://gsci.ti-insight.com/freight-logistics-trackers

Author: Ti Insight 

Source: Ti Insight 


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