Middle East Air Cargo Demand Slips Amid Global Freight Volume Decline
Air freight volumes across the Middle East and South Asia dropped 6 percent week on week in the first full week of August, marking the steepest regional decline worldwide, according to the latest WorldACD Weekly Air Cargo Trends report. Global air cargo volumes overall fell 4 percent during the same period.
The region’s slump outpaced declines of 4 percent in both Europe and North America, while Asia-Pacific slipped 3 percent and Africa and Central and South America each dropped 2 percent. WorldACD noted that global volumes fell across all origins after a brief rally the previous week, with pricing and capacity holding largely steady.
The downturn follows a difficult stretch for Middle Eastern aviation. The Iran-related conflict that broke out in late February disrupted operations through airspace closures, longer flight routes, and higher fuel costs. Combined with weaker demand, the International Air Transport Association projected in June that Middle Eastern airlines would post a collective net loss of $4.3 billion for 2026, a sharp reversal from a $7.2 billion profit the year before.
On specific trade lanes, shipments from the Middle East and South Asia to Europe fell 11 percent week on week, with most origins in the region posting mid-to-high single-digit declines. Sri Lanka was the exception, with exports to Europe up 15 percent. Year on year, the Middle East and South Asia-to-Europe lane was down 13 percent, driven by a 62 percent drop from Dubai.
Shipments to the US held up better, easing just 1 percent week on week as strong gains from Dubai (37 percent) and Bangladesh (15 percent) offset losses from Colombo and India.
On pricing, global airfreight capacity contracted 1 percent, with rates from the Middle East and South Asia slipping 1 percent week on week — even as year-on-year pricing in the region remained the strongest globally, up 48 percent. Separately, IATA reported in July that international cargo traffic on Middle Eastern airlines rose 5.6 percent year on year, signaling a gradual recovery in transfer traffic through the region’s major hub airports.
Also Read:
Iran Defends Control of Strait of Hormuz Amid Growing US Pressure
