The long-term effects of US tariffs and the removal of the de minimis exemption has disrupted established air cargo flows and is clouding the industry outlook for the year.

From his hometown hub of Memphis, Fred Smith built FedEx from a $4 million inheritance to an $88 billion behemoth.

The loss of An-124 heavy-lift air capacity will force a modal shift to ocean or a reduction in cargo sizes to fit into smaller craft, experts say.

But a rise in demand for general cargo will not be enough to offset the sharp decline in e-commerce shipments that followed the US clampdown in May on low-value imports from China.

The acquisition of Cole Group brings Mullen trade consulting and additional non-asset logistics leverage in the US and Canada.

The US Court of International Trade on Wednesday stated that President Donald Trump’s tariffs exceed his authority.

Demand for goods traditionally shipped by air has been weakened by global economic issues, high inflation in destination markets and geopolitical issues that have impacted trade flows.

The Luxembourg-based carrier is the latest airline to sign a supply agreement for sustainable aviation fuel, but it comes as the industry makes slow progress towards decarbonization.

The trans-Pacific air cargo sector is trying to assess the demand implications of the preliminary trade deal between Washington and Beijing, which included a reduction in the tariff on parcels from China.

The forwarder offered an unsettled outlook for the trans-Pacific in 2025 as shippers navigate the Trump administration’s 145% tariffs on goods made in China.

Interest in FTZs, where shippers can store goods while deferring the payment of duties, has increased dramatically since President Donald Trump implemented tariffs in April.

It is the second acquisition this week by a CMA CGM subsidiary following CEVA Logistics’ takeover of Turkish forwarder Borusan Tedarik, with both deals aimed at extending the carrier’s end-to-end supply chain control.

Chartered flights from China to the US have been canceled and air freight traffic has declined as Washington prepares to scrap the duty-free exemption for low-value goods shipped from China and Hong Kong.

If regulatory approval is achieved, the deal will nearly double the size of CMA CGM subsidiary CEVA Logistics’ footprint in a rapidly expanding region.

The closure of freighter slots at the airport beginning in August is expected to last several months because of an estimated $1 billion investment plan launched by port operator Adani Airport Holding.

US tariffs on China and the 90-day pause on tariffs imposed by Washington on a host of other countries made it difficult to assess how the market would develop this year, according to the forwarder’s CEO.

HHG imports rose almost 20% in 2024 fueled in part by home remodeling, but US tariffs on China and Vietnam could reverse that gain.

US electronics imports are riding a wave of cyclical replacement, but tariffs could bring on an ebb tide.

Qatar, IAG and MASkargo plan to get their trilateral partnership off the ground as soon as regulatory approval is secured.

Disruption caused by trade wars will reach deep into global supply chains, depressing an already uncertain outlook for the US freight economy.