The integrator’s positive earnings momentum was led by its air cargo-focused Express division that saw pre-tax profit increase 63% year over year in the quarter.

But despite the initial drop in capacity, sources are not expecting a long-term decline in business on the westbound trade lane.

The takeover means CMA CGM subsidiary CEVA Logistics will become one of the top contract logistics providers in North America.

A key freight forwarders group warns that shifting liability onto forwarders – without them having operational control or corresponding insurance coverage – creates legal uncertainty.

The volume of high-tech goods from Asia to North America increased 70% year over year while US imports of e-commerce declined, according to aviation consultancy Aevean.

Demand is projected to expand between 3.5% and 5% a year over the next decade, outstripping the supply of air cargo capacity that is forecast to grow by just 1% a year.

With the EU about to follow the US in scrapping duty-free imports of low-value goods, the expanding regulatory clampdown is a turning point in how huge volumes of e-commerce exports from China are monitored.

With demand on the corridor continuing to outstrip available capacity constrained by the Middle East war, any resumption of hostilities would keep upward pressure on rates.

Global cargo capacity has largely recovered to pre-shock levels, while international routes have yet to be seriously affected by jet fuel shortages, according to Xeneta.

Tobias Meyer said 10 dedicated DHL Supply Chain warehouses with 7 million square feet of capacity will go live in North America this year, specifically targeting data center logistics.

DSV CEO Jens Lund, speaking during the company’s first-quarter earnings call Wednesday, said the integration of Schenker has been completed in more than 50 countries, with full integration still on tap by the end of this year.

The Iran conflict, which began late in the first quarter, had little impact on the forwarder's Q1 business, accounting for just a 1.5% decline in ocean freight volumes.

Prices have more than doubled since the war started, and with fuel comprising almost 30% of operating expenses, the Hong Kong-based carrier has been forced to reduce capacity.

While the ceasefire marks the first diplomatic shift in the 40-day conflict, it is being regarded by transport operators as more of a controlled easing rather than an operational reset.

Global jet fuel prices have almost doubled since the Middle East war began on Feb. 28, piling additional expenses onto an operating component that before the conflict was already more than 30% of total costs.

An estimated 30% of Asia-Europe air cargo is routed via the Middle East, so the sudden closure of airspace in the Persian Gulf has left forwarders scrambling for capacity on freighters and passenger aircraft out of Asia.