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Airfreight Rates Soar Amid Capacity Constraints And Rising Fuel Costs

International airfreight rates increased across multiple routes, with some lanes rising by up to 95%, according to Drewry. The increase reflects reduced cargo capacity and higher fuel costs linked to geopolitical developments in the Middle East.

Reduced Capacity And Fuel Price Pressures

Data from Drewry Airfreight Insight show that rates from Shanghai to Dubai rose 95% to $8.60 per kilogram since the start of the conflict. Analysts said continued increases in fuel surcharges could push prices above the previous peak of $9.40 per kilogram recorded during the pandemic. Other routes also show higher costs. Fuel surcharges on shipments from Singapore to London increased by up to 290% month on month, while security surcharges from Dubai and Abu Dhabi to Amsterdam rose 44%.

Escalating Costs On Global Trade Lanes

Rate increases extend beyond individual routes. Shipments from Mumbai and Delhi to Madrid recorded an average increase of 27% over the past month, with fuel surcharges rising 21%. According to Philip Damas, reduced capacity and higher fuel costs are driving price increases across the airfreight market.

Impact On Major Airline Operations

Airline operations in the region have been affected by the conflict. Carriers including Qatar Airways, Emirates, and Etihad Airways reported reduced flight activity, limiting available cargo capacity. Nearly half of the routes monitored by Drewry recorded month-on-month price increases of 20% or more in March 2026.

Wider Market Implications And Strategic Responses

Middle East routes account for 15.6% of global airfreight traffic and 18.2% of capacity. Disruptions in the region are affecting global trade lanes, increasing transport costs for shippers.

Leveraging Data For Resilient Supply Chains

Drewry said access to rate data and surcharge trends helps companies plan logistics costs and adjust supply chain strategies. Benchmarking tools are used to track pricing changes and support freight planning decisions.

Meta’s $18 Billion Settlement Limits State Claims Over Children’s Data

Meta’s $18 billion settlement with attorneys general from 29 U.S. states includes a provision limiting future state claims over the company’s use of children’s data for age-assurance systems.

Under the agreement, Meta must develop, train and begin testing a system to identify users under 13 within a year of the settlement taking effect. The company already uses AI-based age-detection tools, although the agreement does not require the new system to use AI.

States Agree To Limits On Future Claims

The Children’s Online Privacy Protection Act (COPPA) generally restricts the collection and retention of personal data from children under 13. Under the settlement, the 29 state attorneys general agreed not to bring past, present or future claims under COPPA or similar state laws over the specified use of children’s data.

Meta will not be permitted to use information from users under 13 for advertising, marketing or algorithmic optimisation.

Federal Enforcement Remains Unclear

COPPA is primarily enforced by the Federal Trade Commission, which is not a party to the agreement. That leaves open the possibility of separate federal action over how Meta collects or uses children’s data.

Another issue is whether Meta can keep age-assurance data isolated from its other systems. An independent auditor will monitor compliance, but the settlement does not fully specify what data Meta can retain for training, how long it can be stored or whether derived insights can be used elsewhere.

Legal Risks Remain

Joshua Wurtzel, a partner at Schlam Stone & Dolan, said states could still pursue claims if Meta uses the data outside the settlement’s limits. Such cases could depend on how those limits are interpreted.

Peter Jackson, a data and intellectual property attorney at Greenberg Glusker, said the provision could “disincentivize future enforcement actions.”

The agreement gives Meta greater legal certainty around using children’s data for age assurance, but questions remain over federal enforcement, data retention and secondary use.

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