Shippers weigh unusual routes as high air cargo rates, Middle East gridlock persist
LOS ANGELES, April 10 -- Some shippers caught between high jet fuel prices and congestion in vital Middle East waterways are now looking for transport routes in unexpected places, with a recent ceasefire between Iran and the United States unlikely to offer quick relief.
Clients that once moved electronics and other fast-selling consumer products from Asia to Europe through Middle East hubs are now going so far as to transport their goods by ship and plane via Los Angeles to secure lower rates, one US freight forwarder said.
"It's a lot faster than going by ocean around (the southern tip of Africa), but much, much cheaper than doing air direct," Flexport CEO Ryan Petersen said.
The cost to ship air cargo has soared due to strong demand ...
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