Freight and Logistics News and Market Update

Air

• The US announced via executive order that the de minimis exemption will end globally beginning August 29, 2025. The initial suspension was delayed due to system limitations, but the government now states those systems are equipped to manage the increased volume of entries. While duties on shipments through the postal network will be assessed differently, no imports to the US will qualify for duty-free de minimis treatment, regardless of origin.
• The removal of the de minimis exemption is expected to significantly disrupt global supply chains, with more than 30% of consumer-bound shipments currently relying on it. Spot rates from China to the US have declined year over year throughout most of 2025 and global rates have dropped in recent months. In response, carriers are shifting capacity across tradelanes to meet changing demand. Shippers are likely to adjust by exploring mode shifts, consolidation strategies and distribution center routing to adapt to the new regulations.

Ocean

• Starting in October 2025, US ports could face tariffs of up to 270% on Chinese ship-to-shore cranes, jeopardizing critical infrastructure upgrades. Without exemptions, ports may need to cancel, store or resell ordered cranes, leading to stalled capacity improvements and operational inefficiencies. Although support is growing for domestic crane manufacturing, no competitive alternative exists yet.
• US policy support, growing AI-driven energy demand and efforts to rebuild domestic fuel supply chains are fueling a revival in nuclear power investment. Major infrastructure projects—such as uranium enrichment plants and modular reactor construction—are expected to generate substantial breakbulk and project cargo volumes. Over the next decade, this resurgence could significantly reshape freight flows as the US expands its nuclear capacity.
• Two major California drayage operators have closed, citing the high upfront cost of transitioning to zero‑emission trucks amid soft freight rates. Port and state grants helped offset some costs but operators still faced steep investments and infrastructure gaps. Industry leaders warn the closures could continue without stronger financial support.
• Regional carriers have steadily restored services through the Red Sea, with active trade strings doubling since late 2024 and capacity expected to peak in August 2025. Most Asia–Middle East services avoid Israeli ports, reducing exposure to Houthi attacks. While major ocean lines remain cautious, smaller regional operators are expanding targeted routes using smaller vessels.

Air

• According to IATA, global air cargo demand rose 0.8% in June 2025 compared to the same month in 2024. Latin America led regional performance with a 3.5% increase in demand while capacity fell 0.4%. Trade tensions weighed on overall cargo volumes, though Asia‑Pacific saw strong growth. The data reflect a modest recovery amid uneven regional trends.
• On July 30, 2025 the United States issued an executive order imposing 50% tariffs on Brazilian imports effective August 6. A list of 649 products will be exempt and remain subject to the existing 10% rate. These include orange juice, aircraft, oil, minerals and other key exports.

Ocean

• Ports in Brazil expect exports to rebound next week thanks to exemptions from the US 50% tariff. A second export rush is anticipated as products not included in the tariff list such as orange juice cellulose and oil gain export momentum following the first wave of tax‑avoidance shipments.
• On July 16, 2025 Brazil published a decree regulating the BR do Mar Project to cut maritime freight costs by up to 60% and promote cabotage. The measure allows easier chartering of foreign vessels, reduces bureaucracy and taxes, shifts cargo from roads to coastal shipping and supports the shipping and shipbuilding industries while lowering emissions.
• The government of Panama may annul CK Hutchison’s port operating contract at Balboa and Cristobal ports if courts rule against it. President Mulino has backed legal challenges and flagged plans for public‑private partnerships to assume control if the concession is voided. The move is linked to political tensions over CK Hutchison’s proposed sale of its global ports holdings.

Air

• Asia Pacific air cargo demand grew 5.6% year‑on‑year in June 2025 as manufacturing activity rebounded and shippers front‑loaded ahead of possible US tariffs. Offered freight capacity rose 7.1%, outpacing demand and lowering average load factors to 62.1%. AAPA noted strong performance in eCommerce and time‑sensitive cargo but flagged concerns over weakening global business confidence.
• As of early August 2025, shippers in Southeast Asia rushed exports to the US ahead of the August 1 tariff deadline amid uncertainty over final rates and typhoon-season disruptions. Dimerco reports surging demand and tightening capacity from Malaysia, Singapore, Vietnam and Thailand while US-bound airfreight from China remains soft due to reduced capacity.
• Air cargo tonnages from Southeast Asia to the US rebounded 3% week‑on‑week in mid‑July but WorldACD attributes this to recovery from an earlier dip rather than a surge ahead of the August 1, 2025 tariff deadline. Overall global air cargo volumes fell 2% WoW, showing limited signs of pre‑tariff shipping acceleration.

Ocean

• Asia Pacific ocean freight is seeing growing disruption as frontloading ahead of US tariffs led to a demand slump and falling rates in August. Carriers have cut Asia to US capacity by 6.2% this month causing shipping delays and uncertainty. Exporters in Southeast Asia are also facing higher costs longer shipping times and operational uncertainty due to congestion at Port Klang delays in Vietnam and limited space in the Philippines and Thailand caused by adverse weather.
• Ocean freight rates from Asia to the US surged briefly above $6,000 per FEU in late May and early June after a tariff cut on Chinese goods, then stabilised around $3,400 per FEU. Preliminary US trade agreements with Vietnam, Indonesia and the Philippines suggest future tariff levels of 19% to 20%, potentially altering expected peak season freight patterns.
• Trans Pacific spot rates have dropped over 50% year over year despite capacity pressure from port congestion Red Sea rerouting blank sailings and tariff volatility. Carriers are reacting faster to market shifts applying peak season surcharges outside traditional cycles and capitalizing on brief demand spikes. Analysts expect long term rates to remain above pre COVID levels as carriers manage capacity through idling scrapping and slow steaming to avoid unprofitable pricing.
• Busan is expanding its transshipment capabilities with a $573 million feeder terminal scheduled to open by 2030 and launching a real time platform called Port‑i to improve coordination and container tracking. The terminal will add 1.5 million TEUs of capacity while Port‑i aims to enhance visibility across the port. Transshipment already makes up 55% of Busan’s volume as of 2024, underscoring its strategic role in regional logistics.

Air

• Beginning August 4, 2025 all handlers at Hamburg Airport must use the FAIR@Link Cargo Community System to digitize cargo handling and customs processes. The platform supports real time pre declarations slot planning and coordination between agents carriers and customs. Hamburg’s cargo volume rose 39% in 2024 to 65,400 tons, and the system aims to reduce delays eliminate paperwork and improve visibility as the airport positions itself as a leading digital freight hub.
• Heathrow Airport has proposed a £49 billion expansion plan featuring a new 3,500 m runway and complementary terminal upgrades to raise passenger capacity to 150 million annually and support up to 756,000 flights. The runway alone is estimated to cost £21 billion amid rising construction expenses. The plan is expected to generate up to 100,000 jobs and will be privately financed. Despite government backing for economic growth, it faces strong resistance over environmental noise and community impact concerns.

Air

• Saudia Cargo has launched a campaign called “BEYOND” in collaboration with the Saudi Export Development Authority and the Saudi Made programme to expand Saudi exports globally under Vision 2030. The campaign supports manufacturers and SMEs by opening new trade corridors including Manila Kuala Lumpur Addis Ababa Jakarta Cairo and Zhengzhou in China. Export volumes rose by 14% last year and a new route to Zhengzhou strengthens global connectivity for the carrier.
• Indian exports to the US face a 25% tariff and other penalty risks starting August 1, and a broader trade agreement between the two countries remains pending. Despite rapid growth in bilateral trade and increasing Indian manufacturing across sectors such as electronics exporters remain optimistic that a deal could be finalised in the coming months.

Ocean

• India’s Ministry of Ports Shipping and Waterways (MoPSW) has signed a memorandum of understanding with the Centre for Development of Advanced Computing (C DAC) to establish a Digital Centre of Excellence (DCoE) that will drive innovation and modernise the maritime sector through advanced information technology. The government also launched the Port Community System SAGAR SETU to streamline export import (EXIM) operations by reducing documentation time through paperless processes. A Standardised Scale of Rates (SOR) template has been introduced to bring consistency and transparency to port pricing across all major ports.
• Tariff rates on exports from Bangladesh to the US are set to rise to 36.5% on August 7, prompting a rush to get goods out of Chittagong ahead of the deadline. About one fifth of Bangladesh’s exports go to the US with the garment sector driving demand. Export volumes have surged over the past two months with a 24.9% year over year increase in July’s export value from $3.82bn to $4.77bn.
• Greek owned tanker operators are expected to continue transporting approved Russian crude exports even after the EU introduced a new floating oil price cap set at around $47.60 per barrel. Greek companies account for about 20% of Russia’s oil shipping volume and have signalled readiness to comply with the cap so long as traders pay at or below the limit. Although the cap tightens liability rules, enforcement challenges and absence of US backing may limit its impact.

• As of August 1, 2025, the US is imposing a 50% tariff on the copper content of certain semi finished and copper intensive imports following a Section 232 investigation that identified copper as critical to national security. The measure excludes copper input materials and scrap. The Department of Commerce may expand the tariff and is expected to deliver a report on domestic copper markets by mid 2026 which could lead to refined copper tariffs of 15% in 2027 and 30% in 2028. Instead of export controls the proclamation requires increasing percentages of domestically produced copper to be sold in the US reaching 40% by 2029.
• On July 30, 2025, the US issued an executive order under the International Emergency Economic Powers Act suspending the de minimis exemption for commercial imports effective August 29. The exemption previously allowed duty free entry for goods valued at $800 or less but was criticized for enabling tariff evasion and revenue loss. Personal exemptions for travelers and gifts remain. Commercial shipments will now be subject to all applicable duties and postal shipments will incur a temporary flat rate based on country specific tariffs. The order also adds bonding requirements for carriers and importers and includes a safeguard to keep the suspension in place even if related tariffs are overturned in court.
• On July 30, 2025, the US issued an executive order under the International Emergency Economic Powers Act (IEEPA) imposing an additional 40% tariff on imports from Brazil, raising the total to 50%. The tariff takes effect August 6 and includes exemptions for certain goods listed in the order, personal communications, humanitarian shipments, informational materials, goods already in transit, and imports subject to Section 232 actions.
• On July 31, 2025, the US signed an executive order under the International Emergency Economic Powers Act (IEEPA) adjusting tariff rates on imports from all countries effective August 7. The order sets country specific tariffs between 15% and 41% while nations not listed remain under a 10% rate. Imports from China will continue at 10% through mid August. Goods already in transit before August 7 are exempt from the new rates if entered by October 5. The order also imposes a 40% duty plus fines and no mitigation options for transshipped goods rerouted to avoid tariffs.
• As of August 1, 2025, most Canadian goods imported into the US are subject to an additional 35% duty under HTSUS heading 9903.01.10 unless they fall under specified exemptions. Goods found by US Customs and Border Protection to be transshipped to evade duties are now subject to a 40% rate under heading 9903.01.16. Exemptions include donations of food clothing and medicine informational materials crude oil and certain covered goods. These updates implement Executive Order 14193 and its amendments to strengthen tariff enforcement and address illicit drug flows across the northern border.

• Hamburg has launched Logistics Strategy Hamburg 2035 backed by over 150 stakeholders to modernize logistics via innovation, sustainability and resilience. The plan aims to reduce CO₂ emissions by 40% by 2030 compared to 2017 levels, shift 25% of deliveries to cargo bikes, and use parcel stations for 30% of home deliveries. It supports digitalization green transport and stronger supply chains through investments in AI automation quantum computing open data and driverless vehicle testing to reinforce Hamburg’s position as a logistics leader in northern Europe.