Companies increasingly choosing air freight due to war and AI

Businesses are increasingly turning to air freight to bypass the lengthy transit times associated with sea transport, which can take weeks longer. This shift is significantly driven by geopolitical instability in the Middle East, where urgent demand for machinery and materials is needed to repair critical infrastructure. Consequently, extra flights are being organized to facilitate the rapid delivery of these essential goods, particularly from the United States. Furthermore, the rapid expansion of global artificial intelligence infrastructure is a major contributing factor to this trend. As tech companies rush to build new data centers, they require swift delivery of specialized server equipment and hardware to meet construction timelines. This surge in logistics demand is reflected in the financial performance of major handlers like SATS, which reported an 11.3 percent revenue increase in the second quarter. CEO Kerry Mok confirmed that the global push for faster supply chains, fueled by regional conflict and tech growth, is significantly reshaping the industry.