‘An anticipated decline in exports may cut air cargo volumes & value’

Vipin Vohra, Chairman, Continental Carriers said, “The new U.S. tariffs—26% on Indian imports and 10% baseline on all global goods—pose significant implications for India’s air cargo trade. High-value, time-sensitive sectors like textiles & apparel, gems & jewellery and pharmaceuticals will see reduced competitiveness, impacting air export volumes. An anticipated decline in exports may lead to a notable contraction in annual air cargo trade volumes and value. Freight forwarders and Airlines may face capacity underutilization and rerouting challenges as exporters explore alternative markets. On the import side, higher U.S. duties may affect goods routed through re-export hubs, reducing inbound air freight demand. However, India’s growing domestic consumption and diversification into Middle East, Europe, and Africa offer partial offsets.