03/05/2026 | Press release | Distributed by Public on 03/05/2026 11:40
WHAT'S THE LATEST
Update as of March 5: Airspace shutdowns across the Middle East continue following U.S. and Israeli strikes on Iran on February 28 and subsequent Iranian retaliation - including strikes on energy infrastructure and the closure of the Strait of Hormuz. The disruption has now entered its sixth day with no de-escalation in sight, and civilian airspace remains closed or severely restricted across the region.
Global air cargo capacity has fallen 18% week-over-week, with 13% directly impacted by Middle East closures. Air freight rates are rising sharply due to rerouting, reduced payloads, and fuel cost volatility. Global aviation fuel rose 3.6% last week to $99.40 per barrel, and from U.S. jet fuel increased from $2.50 to $2.83 per gallon - driven by oil market volatility. Carriers may introduce or increase war risk surcharges for shipments routed near or through affected areas.
Disruptions may extend into mid-March or longer if conflict conditions escalate.
SEKO continues to monitor the situation closely and will provide updates as new information becomes available.
These restrictions continue to disrupt overflight routes, inbound/outbound traffic, and key transit hubs, severely impacting Asia-Europe, Asia-Africa, and intra-Gulf cargo flows. Increased GPS spoofing and jamming in the region add further operational risks.
Widespread cancellations continue across regional and global carriers:
Global Cargo Context
Middle East carriers, including Emirates, Qatar Airways, Etihad, Saudia, Royal Jordanian, Oman Air, Kuwait Airways, and Gulf Air, support approximately 25-30% of global air cargo volume annually, with Dubai, Doha, and Abu Dhabi serving as primary transit hubs for nearly all Asia-Europe, Asia-Africa, and intra-Gulf flows. Prolonged airspace closures sever this critical lifeline, eliminating substantial belly and freighter capacity.
Specific Trade Lane Impacts
During severe capacity constraints, carriers prioritize shipments based on urgency, value, and contractual agreements. Typically, airlines allocate space to the following:
General cargo often faces extended delays or space denials. Shippers with express, premium, or priority service agreements should leverage them now to secure capacity.
With major Middle Eastern airlines offline for multiple days, key lanes are experiencing 20-30% capacity reductions.
SEKO recommends importers and shippers:
The situation remains highly dynamic, and SEKO will continue issuing updates as developments occur.
If you have questions, please reach out to your SEKO representative, or email us at [email protected].