Iran War’s Capacity Constraints Disrupt Majority of Air Freight Forwarders

Nearly seven in 10 members of the Airforwarders Association (AFA) are experiencing disruption due to the war in Iran, which in a span of less than four weeks has caused headaches surrounding air freight capacity and a rapid spike in rates to move cargo.
According to a survey of the trade association’s more than 225 member freight forwarders, airlines, trucking firms, warehouse operators and service providers, 29 percent reported a significant impact from the conflict and 38 percent moderate impact.

In line with a rapid doubling of jet fuel prices, cost pressures are also rising for the lobbying group, with more than two-thirds of respondents reporting what they call “measurable” increases. While 41 percent cite moderate cost pressures, another 27 percent say they are seeing significant increases.



Members also identified rate volatility, flight cancellations, capacity constraints and longer transit times as the most common issues, alongside growing customer service pressures and space embargoes.

“Forwarders are adapting in real time, but they need a stable operating environment to keep goods moving efficiently,” added Fried.

The good news for the industry is there appears to be more stability for the local Middle Eastern airlines that largely suspended services at the start of the war as various countries in the region closed their airspace.

The GCC Airspace Recovery Monitor, developed by business travel booking platform Kitt, said Emirates was at 68 percent of normal operations as of Monday. Air Arabia is operating at roughly 54 percent recovery, while Etihad Airways is close behind at about 49 percent.

Qatar Airways, on the other hand, is still seeing major operational issues after having had operated nearly 600 daily flights just ahead of the Middle East conflict. According to the monitor, shared by Kitt CEO Imad Ali on LinkedIn Tuesday, Qatar Airways has seen roughly 18 percent flight recovery.



The airline’s efforts to revive services have been held back by the closure of Qatar’s airspace, alongside the company’s heavier dependence on long-haul corridors that remain constrained. The carrier recently parked 20 aircraft in Teruel Airport in Spain, a site typically used for long-term storage in crisis periods like the Covid-19 pandemic.

Aside from the concerns abroad, there are still domestic issues that could disrupt air cargo movement.

The AFA is calling for a resolution to the shutdown of the Department of Homeland Security, which has been ongoing since Feb. 13, and for lawmakers to prioritize the payment of Transportation Security Administration personnel to avoid further disruption to aviation operations.

“Ending uncertainty, whether operational or regulatory, is critical to maintaining the resilience and reliability of the air cargo sector,” said Fried.

The association has been vocal about the need for federal government officials to avoid scenarios where air travel gets impacted.

Through last October and November, nationwide air traffic had been snarled by a 43-day government shutdown during which air traffic controllers had to work without pay. With concerns about staffing shortages and fatigue, the Federal Aviation Administration (FAA) directed airports to cut some flights over a 10-day stretch, before rescinding the order after the shutdown ended.


	Shein taps DHL in latest push to reduce air emissions	

As the air cargo industry maneuvers around the uncertainty, Shein is partnering with DHL to adopt its GoGreen Plus service, expanding its use of sustainable aviation fuel (SAF) within its international air cargo network.



DHL’s GoGreen Plus service enables businesses to select sustainable fuel options for their transport, which the company says can reduce up to 80 percent GHG emissions compared to conventional fuel.

With the collaboration, Shein aims to try and shed its not-so-sustainable reputation in exploring an approach to reduce carbon emissions associated with air transport.

“Working with partners such as DHL allows us to better understand how sustainable aviation fuel solutions may be incorporated into air cargo logistics,” said Mustan Lalani, Shein’s head of sustainability, in a statement.

The fast-fashion giant already has made shifts to SAF via a pilot program with Atlas Air. In 2025, Shein piloted the procurement and use of 187.3 metric tons of SAF across 14 Atlas Air charter flights, achieving an estimated emissions reduction of 579.1 metric tons of carbon dioxide equivalent (CO₂e).

Shein also began a similar six-month partnership with Lufthansa Cargo last August, to explore both the use of SAF for the e-commerce retailer’s deliveries alongside other renewable and lower-carbon energy sources.

Most recently, Shein entered a pilot collaboration with Air China Cargo, with the Singapore-headquartered company planning to procure an “initial batch” of SAF from the airline. Shein will leverage traceability mechanisms to track SAF usage and associated emissions reductions.