Russian invasion of Ukraine impacts on air freight logistics

2022 03 15

WHILE carriers are closing off bookings to Russia, the air freight services that overfly Ukraine and Russia will face the biggest disruption, reports London's Lloyd's List.

Meanwhile, Kuehne+Nagel (K+N) is closed in Ukraine and is only taking humanitarian bookings for Russia.

Cargo flights from north Asia to Europe will take longer and there will be less capacity.

※Locally we have stopped business, but we do not see a big impact at the moment other than that we are concerned about the security of our people,§ said Kuehne+Nagel chief executive Detlef Trefzger.

※The sea logistics market is not really affected at the moment by the Russian war against Ukraine, at least not materially for us in our network.§

K+N*s disruption indicator remained stable at elevated levels recently, with 12.5 million TEU/days of delays.

However, 80 per cent of that was related to congestion at US ports.

※As a company operating in more than 100 countries, employing people of different nationalities, and actively fostering cultural diversity, our values are based on mutual respect, trust and democracy,§ said Mr Trefzger.

※Our thoughts are with the people of Ukraine, our colleagues, and their friends.§

Mr Trefzger declared how the crisis would affect the long-term macroeconomic outlook remained unknown.

※All the sanctions are geared towards stopping the invasion and this is what we all should focus and concentrate on, and then see what is the solution for stopping war in Europe.§

※The bigger picture is that flights over Ukrainian and Russian territory are limited right now, which will lead to longer lead times for the air cargo network for bookings from northeast Asia,§ said Mr Trefzger.

※We need to provide for this in our flight operations.§

Source Shipping Gazette


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