Middle East Conflict Causes Significant Drop in Global Air Cargo Demand
The ongoing conflict in Iran has led to severe disruptions at major airports in the Middle East, resulting in a significant decline in global air cargo demand. According to the International Air Transport Association (IATA), total demand, measured in cargo tonne-kilometers, fell by 4.8% compared to March 2025 levels. The decline was more pronounced for international operations, which saw a 5.5% drop. Middle Eastern carriers, including Qatar Airways, Emirates, and Etihad Airways, experienced a 54.2% contraction in demand due to grounded flights in cities like Doha, Dubai, and Abu Dhabi. Meanwhile, Asia-Pacific airlines saw a 5.4% increase in demand as customers sought alternative routes. The conflict has also led to increased air freight rates due to volatile energy markets and constrained shipments through the Strait of Hormuz, a critical passage for global oil and natural gas supply. 
