Airfreight rates surge up to 95% on capacity and fuel costs

International airfreight rates have surged by up to 95% between February and March, driven by reduced capacity and higher fuel prices linked to the Iran war, raising the risk of prices approaching Covid-era levels.

According to Drewry Airfreight Insight, rates from Shanghai to Dubai have increased by 95% since the start of the war, reaching $8.60. Rates could exceed the 2020 pandemic peak of $9.40 if fuel surcharges continue to rise.

Cost pressures are being intensified by increases across key pricing components. Fuel surcharges rose by as much as 290% month-on-month in March on routes from Singapore to London, while security surcharges increased by 44% month-on-month on shipments from Dubai and Abu Dhabi to Amsterdam.

A similar, but more moderate, trend is observed on routes from Mumbai and Delhi to Madrid, where March all-in rates increased by an average of 27% month-on-month, including a 21% rise in fuel surcharges.

“The airfreight market has been dealt a two-fold blow of reduced effective available capacity and increased fuel costs,” said Philip Damas, Head of Drewry’s logistics practice. He noted that airfreight costs are rising while three of the top 20 global airfreight carriers, Qatar Airways, Emirates, and Etihad, have reduced flight operations due to hostilities.

“About one-half of the international airfreight routes monitored by Drewry have witnessed a month-over-month price increase of 20% or greater in March 2026,” he added.

Airlines transiting the Middle East have also scaled back operations. Routes connected to the region account for 15.6% of global airfreight traffic and 18.2% of capacity, with the ongoing conflict affecting trade lanes beyond the region.

Drewry advises cargo owners that access to timely rate data and market insights is essential to manage rising airfreight costs. Accurate information on fuel and security surcharges can support planning and help mitigate overall rate increases.