JUPITER SEA & AIR
SERVICES PVT. LTD, EGMORE – CHENNAI, INDIA.
E-MAIL : Robert.sands@jupiterseaair.co.in Mobile : +91 98407 85202
Corporate News
Letter for Monday April 20,
2026
Today’s Exchange Rates
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CURRENCY▲ |
PRICE |
CHANGE |
%CHANGE |
OPEN |
PREV.CLOSE |
DAY's LOW-HIGH |
|
92.92 |
0.290001 |
0.311126 |
92.94 |
93.21 |
92.655- 92.9825 |
|
|
1.1762 |
-0.0019 |
0.161273 |
1.1781 |
1.1781 |
1.1761- 1.1849 |
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|
125.7381 |
0.446701 |
0.354005 |
125.6189 |
126.1848 |
125.1942- 125.8548 |
|
|
109.5882 |
0.198494 |
-0.1808 |
109.4432 |
109.7867 |
109.1436- 109.6801 |
|
|
158.584 |
0.585999 |
0.368159 |
159.17 |
159.17 |
157.591- 159.529 |
|
|
1.3514 |
-0.0013 |
0.096102 |
1.3527 |
1.3527 |
1.3505- 1.3599 |
|
|
98.101 |
0.113998 |
-0.11607 |
98.19 |
98.215 |
98.067- 98.291 |
|
|
0.5842 |
-0.0018 |
0.307167 |
0.5854 |
0.586 |
0.581- 0.586 |
/// Sea Cargo News ///
Iran Announces
Alternative Shipping Routes in Strait of Hormuz Amid Mine Threat
Iran on
Thursday issued fresh maritime guidance directing vessels to use alternative
routes while transiting the strategically critical Strait of Hormuz, citing
risks posed by potential sea mines in the main navigation channel.
The
advisory, released by the Islamic Revolutionary Guard Corps (IRGC), comes
shortly after Tehran agreed to temporarily reopen the vital waterway under a
two-week ceasefire arrangement with the United States.
“All ships
intending to transit the Strait of Hormuz are hereby notified… to take
alternative routes… to ensure maritime safety and avoid possible collisions
with sea mines,” the IRGC said in a statement carried by local media. Specific
entry and exit coordinates for the alternate passages were also shared with
shipping operators.
Global Shipping Order
Book Hits 17-Year High Amid Record Tanker Contracting
The global
shipping order book has reached a 17-year high at the end of the first quarter
of 2026, driven by record crude tanker contracting and sustained newbuilding
activity, according to the BIMCO. The total order book stood at 191 million
Compensated Gross Tonnes (CGT), representing 17% of the global fleet, the
highest ratio since 2011.
The growth
reflects strong contracting momentum throughout the 2020s, with the latest
surge led by tanker orders. Newbuilding contracting during Q1 2026 increased
40% year-on-year to 17.6 million CGT, supported by a tripling of tanker orders
and a recovery in LNG carrier contracting.
Tankers
accounted for 32% of total orders, the highest share since 2017. However on a
quarterly basis, overall contracting declined 17%, mainly due to a slowdown in
dry bulk vessel orders after a spike in late 2025.
Order
book-to-fleet ratios have risen significantly across segments, reaching 40% for
LNG Carriers, 37% for container vessels, 22% for crude tankers and 19% for
product tankers. The increase in tanker orders are expected to support fleet
renewal, as a significant portion of the existing fleet is ageing.
Shipbuilding
activity remained heavily concentrated in China, with Chinese yards securing
70% of global orders in the first quarter. South Korean shipyards accounted
20%, while Japan’s share dropped to just 1%, its lowest in decades.
Looking
ahead, industry analysts caution that expanding order books, high newbuilding
prices, long delivery timelines and geopolitical uncertainties could moderate
future contracting activity despite the current strong momentum.
Panama Flags China
Over Rising Detention of Its Ships Amid Port Dispute
Panama has raised concerns over a recent increase in inspections and detentions of its flag-bearing vessels in Chinese ports, linking the development to a domestic legal dispute involving Hong Kong-based conglomerate CK Hutchison.
Speaking at
a conference in Asunción, Panamanian Foreign Minister Javier Martínez-Acha said
the spike in detentions followed a January ruling by Panama’s Supreme Court.
The court invalidated the legal framework that allowed CK Hutchison’s local
unit to operate two key terminals near the Panama Canal, prompting the
government to cancel the concessions.
“As a result
of the ruling, our commercial shipping fleet — the most important in the world
— has seen an increase in inspections and detentions of vessels flying our flag
in ports of the People’s Republic of China,” Martínez-Acha said, expressing
hope that the situation would soon normalise.
United States
Container Traffic Eases as China Exports Slow
Container
imports into the United States have shown signs of easing, as a slowdown in
export volumes from China begins to weigh on trans-Pacific trade flows.
Industry data indicates a decline in inbound container traffic at major US
ports, driven largely by weaker shipment volumes from China, the country’s
largest trading partner.
The slowdown
reflects softer global demand, cautious inventory management by retailers, and
ongoing shifts in sourcing strategies. Exporters in China are facing a
combination of challenges, including subdued consumer demand in Western
markets, pricing pressures, and geopolitical uncertainties. These factors have
contributed to reduced order volumes and fewer containerised shipments bound
for the United States.
Container Transport in
Bangladesh Rises Sharply in 9M FY26
Container transport in Bangladesh recorded a significant upswing during the first nine months of FY2025–26, reflecting improving trade activity and stronger logistics performance across the country’s ports and inland networks.
Industry
data indicates a notable increase in container throughput, driven by higher
export volumes, particularly in the ready-made garments (RMG) sector, alongside
steady import demand for raw materials and consumer goods. The growth
underscores Bangladesh’s continued resilience as a key manufacturing and
trading hub in South Asia.
Major
gateways such as Chittagong Port played a central role in handling the surge,
supported by ongoing efficiency improvements, infrastructure upgrades, and
better vessel turnaround times. Inland Container Depots (ICD) and multimodal
transport systems also contributed to smoother cargo movement across the supply
chain.
Analysts
note that enhanced connectivity, policy support and increased private sector
participation have helped boost containerised trade. However, challenges such
as congestion risks, capacity constraints and global shipping uncertainties
remain key concerns for sustaining long-term growth.
With
container volumes continuing to trend upward, Bangladesh is expected to further
strengthen its position in regional and global trade, provided infrastructure
expansion and digitalisation efforts keep pace with rising demand.
Why the Iran Crisis Matters Deeply for
India – and Why It Chose Not to Mediate
Major importers such as China,
India, Japan, and South Korea depend heavily on this route, as do exporters
like Saudi Arabia, Iraq, the United Arab Emirates, Qatar, and Kuwait. This dual
dependency makes disruption systemically consequential.
The crisis is real because risk
alone is disruptive. Oil benchmarks such as Brent Crude have risen 3–5% in a
single session on escalation signals. War-risk premiums have increased by
30–50%, in some cases reaching 5% of vessel value. Shipping has responded with
delays, route reassessments, and reduced exposure.
Tanker traffic dropped sharply,
and even post-de-escalation, flows may remain below normal. The consequences
ripple quickly. Reduced vessel movement tightens capacity, raises freight
costs, and extends transit times, disrupting just-in-time supply chains in
sectors like automotive, electronics, and pharmaceuticals.
The impact extends beyond oil and
gas. The Gulf is a key supplier of petrochemicals, fertilizers, and critical
inputs. Disruptions from producers in Saudi Arabia, Qatar, and the United Arab
Emirates can raise global polymer prices, strain fertilizer supply, and impact
agriculture. Qatar’s role in helium exports further links the crisis to
semiconductor manufacturing and medical systems in China, Japan, and South
Korea.
For India, the macroeconomic
impact is direct. With over 85% dependence on crude imports, largely routed
through the Strait of Hormuz, price shocks widen the current account deficit,
weaken the currency, and fuel inflation.
A USD 10-per-barrel increase can
raise the deficit by 0.3–0.4% of GDP, according to some estimates. Higher
energy costs cascade across transport, agriculture, and industry, complicating
policy for the Reserve Bank of India and pressuring fiscal balances.
The crisis also exposes
structural vulnerabilities. India’s LNG, LPG, fertilizers, and petrochemical
supply chains are closely tied to the Gulf, making logistics disruptions
immediately felt through higher costs and delays.
In response, resilience
strategies are diverging. India is focusing on diversification by expanding
sourcing, building strategic reserves, investing in renewables, and
strengthening multimodal logistics. China is pursuing scale and control through
large reserves, overseas assets, and alternative corridors through pipelines
and Belt and Road infrastructure. Both these large economies have different
paths, with the same objective of reducing exposure to chokepoints.
India’s calibrated geopolitical
stance reflects its stakes. The Middle East anchors its energy security, trade,
and diaspora interests, while partnerships with Israel strengthen defence and
technology ties. Rather than mediate, India is maintaining balance by engaging
all sides while prioritizing stability, energy flows, and economic security.
Mediation in such conflicts requires leverage typically held by powers like the
United States, not a role India seeks to assume.
Critics argue that this crisis
was a missed opportunity for India to assert geopolitical influence. However,
this underestimates both the complexity of the conflict and the risks of
overreach. Effective mediation requires not just intent but leverage, security
presence, and acceptance by all parties, a condition India does not yet
possess.
More importantly, India’s core
interests lie in preserving stability, ensuring energy security, and protecting
its economic partnerships across the region, including with Israel, Saudi
Arabia, the United Arab Emirates, and Iran. Any overt alignment risks
undermining this delicate balance; hence, it was a matter of diplomatic
maturity that we did not intervene.
India’s restraint, therefore, is
not a limitation but a strategic choice. By maintaining multi-alignment and
focusing on long-term resilience rather than short-term visibility, India
preserves its role as a stable and credible partner across competing blocs.
In an increasingly fragmented
global order, this ability to engage all sides while safeguarding national
interests represents a form of influence in itself.
Unlike India, Pakistan does not
have significant stakes at the economic, social, and strategic levels, does not
possess India’s diplomatic stature and soft power, and has little to lose.
Moreover, being a fellow Islamic nation, it can actively play a messenger role,
which it has done rightly, and there is no sense in comparing with us, who hold
a wider global campus
The lesson is clear. The Iran
conflict is not just a regional crisis and it is a global supply chain stress
test. It demonstrates that in an interconnected world, vulnerability at one
chokepoint can reshape trade, costs, and strategy worldwide. For India and
others, resilience, diversification, and strategic balance are no longer
optional—they are foundational.
New Viking Helix system simplifies ship evacuation at
speed
Enabling the
controlled ship evacuation of up to 477 persons within 30 minutes into
153-person life rafts alongside, the multiple occupancy Viking Helix slide
accommodates adults of all sizes. It also allows adults and children to
evacuate together, while even stretchers carrying injured persons can be
brought into the continuous flow.
“The Helix
solution has been designed for operational speed and simplicity, technical
efficiency, while the controlled descent of evacuees means they need less crew
assistance transferring from the slide to the life raft,” said Alex Kristensen,
VP cruise & ferry, Viking Life-Saving Equipment.
Certified
for use by DNV, the Viking Helix supports a wide range of vessel configurations
and is especially suited to larger ferries and small to mid-size cruise ships.
Installed at heights ranging between 5 and 23 meters, the system requires no
welding on the ship side, making integration straightforward into newbuild and
retrofit projects.
For heights
of up to 12 meters, the Viking Helix features a patent-pending bowsing system
which automatically activates cylinders after raft ballast water bags are
filled to maintain position manual bowsing. Bowsing line tightening is the
failing most frequently reported in evacuation training.
“Automated
bowsing allows the Helix MES to work with trim and list in a working range of
4-29 meters, so that fast and safe evacuation goes ahead even in challenging
conditions,” said Kristensen. “Users also avoid the service time and cost
needed to reinstall bowsing systems every three years when systems are deployed
– as required by SOLAS.”
Harbor
trials at the Viking Testing Center, Esbjerg, Denmark, focused on materials,
structural integrity and system behavior, with volunteers of different ages and
physical conditions moving through the slide and boarding life rafts.
Subsequent heavy-weather sea trials in the North Sea verified performance in
waters where wind, waves and motions tested the slide’s movement with a vessel
and control over evacuee descent in changing trim and list conditions.
Minimized
operational disruption is also designed in to a system which requires service
at an authorized service station once every 30 months. “One Helix slide and a
153-person life raft are housed in an enclosed GRP frame which fits into the
standard height between two decks and is removed as one unit,” said Kristensen.
“Switch-out is straightforward, even during short port stays.”
Singapore's Straight Talking on Strait Blockade
Another busy day in the Straits of Malacca and Singapore (Pole Star Global) Singapore’s Foreign Affairs Minister Vivian Balakrishnan has outlined to the parliament in Singapore why his country strongly supports the global status quo position that nations bordering straits should not hamper transit passage even through territorial waters, nor charge transit fees.
In a
particularly powerful speech, given Singapore’s respected and even-handed
position globally, he noted that more oil and containers passed through the
Strait of Malacca than through the Strait of Hormuz. At its narrowest, the
Strait of Malacca is only 2 nautical miles wide. But even so, it was not in
Singapore’s interest to capitalize on this geography; this would backfire, and
it was in Singapore’s interest, as an entrepôt, that the international
consensus on the matter be maintained.
Otherwise,
reprisal and reciprocal tolls and transit frees would disrupt global shipping,
on which the world heavily depends for everyday survivability and prosperity.
If one nation started charging tolls, others would follow suit – at Gibraltar,
the English Channel, the Øresund, the Kuril chain, the Magellan passage – and
there would be no end to where tolls could be charged. Toll gates would be
further and further widened, and in the end the whole world would suffer by the
limitations on free movement of goods.
Minister
Balakrishnan observed that freedom of transit passage was guaranteed by Article
44 of UNCLOS, and could not be suspended for any reason, even in wartime. Even
if states had not ratified UNCLOS, freedom of transit passage was historically
well-established and part of customary international law.
The minister
also reported to parliament that he had been in contact with his opposite
number in Iran, and had told him that there were to be no bilateral discussions
on the subject of restricting innocent passage movements. Singapore would not
enter into or be part of any negotiation in which the question of charging
tolls for transit passage was considered, and strongly supported the
International Maritime Organization position on the subject.
If
Singapore’s position based on principles were translated to the Strait of
Hormuz, then Iranian action in recent weeks certainly contravenes Article 44 of
UNCLOS. But an American plan to interdict Iranian ships and ports would not
contradict Article 44 provided it was achieved by means other than blocking the
Strait of Hormuz – for example, by intercepting Iranians ships on the high
seas, where other provisions of UNCLOS might well apply.
/// Air Cargo News ///
EU airports face jet fuel shortage
unless Strait of Hormuz reopens
European
Union airports could start running out of jet fuel in the coming weeks unless
the Strait of Hormuz opens soon.
In a letter
to the European Union, industry association Airports Council International
(ACI) said that its members are increasingly concerned about jet fuel
availability.
ACI pointed
out that the summer tourist season would soon be getting underway, which would
see a rise in demand for jet fuel and increase pressure.
In the
letter, first reported by the Financial Times, ACI director Olivier Jankovec
said that if the passage through the Strait of Hormuz does not resume in “any
significant and stable way within the next three weeks” a systemic jet fuel
shortage is set to become a reality for the European Union.
Any jet fuel
shortage would “severely disrupt airport operations and air connectivity”. The
warning comes as the Strait of Hormuz has been largely closed to commercial
shipping since the outbreak of the US/Israel-Iran war.
This closure
has resulted in fuel constraints as around 20-25% of the world’s supply of oil
transits the maritime chokepoint. The capacity constraint has pushed up fuel
prices and IATA/Platts figures show that the average price of jet fuel has
risen from around $100 per barrel in February to just under $200 last week.
The rising
cost of jet fuel is also expected to contribute to increases
in airfreight rates over the coming weeks as transport
operations become more expensive. To help manage the situation, ACI has called
for the creation of an EU monitoring platform to help coordinate the response
and map availability.
The
organisation would also like to see imports from alternative locations and
joint procurement across member states. “It is essential that the European
Commission conducts such mapping/assessment and monitoring,” said Jankovec in
the letter.
ACI would
like the mapping to cover current and projected jet fuel availability and
needs; Identification of alternative imports and measures that can be taken to
increase production/refining within the EU; Monitoring of potential threats to
Intra-EU flows of jet fuel from EU refineries and import hubs; and assessment
of commercial and strategic reserve levels, possible timeline for their use and
destination of such use.
ACI also
called for the lifting of restrictions and regulatory constraints that limit
the ability to import jet fuel.
Jankovec
said the situation had also highlighted the vulnerability of the EU’s jet fuel
supplies.
This crisis
has exposed the reduced refining capacity of the EU for jet fuel production,
and its acute dependence on imports from other World regions,” he wrote. “This situation needs to be addressed as a
priority as part of the EU’s strategic autonomy agenda.
“Safeguarding
and future-proofing air connectivity requires an EU plan to recover and develop
refining capacity for jet fuel, along and in parallel with more effective
support for the production and affordability of SAF as per the EU mandates set
by the RefuelEU Regulation.”
Lufthansa Cargo hopes to operate two
thirds of flights despite strikes
Lufthansa
Cargo is hoping to operate around two-thirds of its flights during a two-day
pilot strike that started on 13 April.
The
Vereinigung Cockpit (VC) pilot union strike action affects pilots working for Lufthansa Cargo,
Lufthansa Airlines and Lufthansa CityLine taking part.
However, in
a statement, Lufthansa Cargo said that it was able to utilise partner airline
aircraft to keep disruption to a minimum.
“Due to
short-notice adjustments and flexible solutions, e.g. operating some routes
with AeroLogic aircraft and crews or rescheduling some flights, we can operate
up to two-thirds of our regular freighter operations,” the airline said in a
statement to Air Cargo News.
In addition
to its own freighters, Lufthansa Cargo markets the freight capacity of
Lufthansa Group passenger airlines. Lufthansa Group airlines such as Austrian
Airlines, SWISS, Brussels Airlines, Air Dolomiti, and ITA Airways will also
attempt to offer additional frequencies and deploy larger aircraft on their
flights to and from Germany.
Meanwhile,
the carrier’s joint venture partners, Cathay Pacific and United Airlines, are
also operating as scheduled.
“Nevertheless,
we had to cancel several flights and regret the impact on our customers, with
whom we maintain trusted partnerships and who rely on our reliable transport
solutions,” Lufthansa Cargo said.
“At the same
time, we are doing everything possible to maintain stable services for our
customers and to keep critical supply chains moving as smoothly as possible.”
The strike,
which was due to end at midnight on 14 April, was announced by the Vereinigung
Cockpit (VC) union on April 11 over ongoing contract negotiations and pension
provisions.
“Vereinigung
Cockpit feels compelled to take this step after the employers’ side shows no
discernible will to find a solution in several collective bargaining disputes,”
said VC President Andreas Pinheiro.
“Despite a
deliberate renunciation of strike action over the Easter holidays, there were
no serious offers. During this time, there was neither a reaction nor a
recognisable willingness to talk on the part of the employers.”
The airline
has implemented a transit embargo at its Frankfurt hub covering certain animal
and emergency shipments. Meanwhile, at the Munich hub, there is a transit
embargo for all live animals as well as certain other sensitive shipments.
The carrier
said that all Lufthansa Cargo flights scheduled to arrive in Frankfurt on April
13 are planned to operate as scheduled.
Mexico: Cargo thefts drop drastically
in some regions
The theft of
cargo shipments, including the hijacking of entire trucks, is a well-known
scourge in Mexico. But the good news is that in most parts of the country, the
number of cargo thefts has been declining sharply for months. This was
triggered by the new Balam strategy introduced by the Sheinbaum government.
However, Mexico City’s metropolitan area remains a criminal hotspot despite
targeted government countermeasures.
Despite this
fact, the key message delivered during the press briefing was that twelve of
the 31 Mexican states selected by the government for fighting crime in the
transportation sector, have achieved significantly better security figures
compared to a year before. The scheme, announced a year ago by President
Claudia Sheinbaum, bundles regional and national security efforts to combat
cargo thefts targeting transport operators in Mexico.
Balam
strategy works
National Guard commander, Hernán Cortés Hernández, who now presented the first
results of the strategy to the press, stated that over the past seven months,
theft has been reduced by 28% in 12 Mexican states, and the recovery of cargo
vehicles has increased by 24%, compared to the same period last year.
According to
Señor Cortés, the core elements of the Balam Strategy are as follows:
Increased
personnel and technical resources for highway units, to boost on-the-spot
inspections and patrols on vulnerable stretches of the transnational road
network, such as between Mexico City and Puebla.
The
establishment of field companies that serve as rapid-response forces in the
event of incidents.
Increased
deployment of manned and unmanned aircraft conducting reconnaissance missions
and gathering intelligence.
Centralization
of data to track criminal activities and their initiators and masterminds.
The Balam
Strategy is rounded off by the deployment of 1,241 specialists, 23
investigative units, and the provision of 532 vehicles, 4 helicopters, and 37
drones.
In a
nutshell: It is a data-driven, cross-provincial network of security experts who
have been equipped, technically and operationally, by the central government,
in accordance with their respective missions and tasks.
Alerts via
app
Hernán Cortés, who presented the interim results of the Balam scheme,
illustrated that its core component is a command-and-control center, where
incidents are monitored and responses are coordinated. Truck drivers can send
alerts via an App on their cell phones, this way transmitting geolocation data
directly to authorities.
This
activates highway patrol units closest to the incident to intervene
immediately, supported by GPS-equipped vehicles and aerial surveillance
capabilities. Monitoring centers operated by logistics companies also have
become part of the Balam security network by continuously updating coordinates
of their vehicles and sharing incident reports with authorities real-time.
Dark spots
remain
However, despite these security improvements, cargo theft remains highly
concentrated in specific regions, particularly in Mexico City’s metropolitan
region or along the routes to Felipe Angeles International Airport. Industry
associations speak of critical last-mile corridors. This is confirmed by
authorities that emphasize the necessity of targeted counter measures in the
capital area.
Despite the
regionally improved security regime, incidents continue to occur daily,
indicating persistent exposure. Transport operators still face an average of up
to three assaults each day.
Officials of
the Mexican Association of Private Security and Satellite Industry Companies,
speak of USD 386 million in annual losses caused by cargo theft across the
state. These are provoked by structural and external factors such as
cybercrime, social erosion, hijacking of vehicles, drug trafficking and
organized crime activity.
Campbell Wilson leaves Air India
Following
IndiGo’s CEO, Pieter Elbers recent resignation, the next helmsman of an Indian
carrier has quit his job: New Zealand-native Campbell Wilson. He steps down
from his post at Delhi-based Air India after accomplishing the privatization
and merger of four airlines under Tata ownership. Wilson will remain in
office until a successor has been appointed by the supervisory board.
His decision
does not come as a surprise, as the executive had previously announced his
intention to step down in 2024 but remained in charge of ensuring a seamless
transition of leadership: Wilson was appointed in 2022 after the Tata Group
took over the loss‑making Indian flag carrier.
During his
tenure, the merger of four airlines (Air India, Air India Express, Vistara, and
AIX Connect) was executed, streamlining different work cultures rooted in
public and private sectors.
A multitude
of challenges
Since the privatization of Air India in 2022, the Tata conglomerate has
embarked on an ambitious fleet overhaul, ordering hundreds of aircraft to
replace ageing and fuel-thirsty jetliners. Simultaneously, the intercontinental
network was expanded.
Wilson led
efforts to improve passenger and cargo services, modernize operations and
integrate the group’s aviation businesses, but faced persistent headwinds,
including aircraft delivery delays, airspace closures caused by the 2025 India‑Pakistan
conflict, and disruptions linked to the war in the Middle East and Iran,
causing widespread airspace closures that required longer flights on
alternative routes.
Wilson’s
most severe setback during his tenure came in JUN2025, when Air India Flight
AI171, bound for London Gatwick, crashed right after takeoff from Ahmedabad
Airport (IATA: AMD), killing all but one of the 242 people on board and 19
people on the ground. This fatal crash marked the first total loss of a Boeing
787-8 (Dreamliner) worldwide, bringing the carrier’s maintenance and safety
schemes under scrutiny at a time of accelerated growth.
Leaving the
red remains the primary goal
Following the Ahmedabad crash, Air India strengthened its Safety Management
System (SMS), upped its investment in technical infrastructure, and revised
crew training and fatigue management. In the meantime, the airline is building
an MRO facility and a training academy equipped with simulators for the Boeing
787 and Airbus A350 long-haul variants to manage the delivery of 570 Boeing and
Airbus aircraft as part of its five year long transformational plan, with first
deliveries taking place in 2027.
Campbell’s
successor, whoever that may be, is likely to be judged primarily on the
airline’s financial recovery. After all, the Indian flag carrier continues to
incur significant losses. Improving the reputation of the company, which has
been tarnished by numerous complaints about poor service, also remains a
constant concern.
Kales pacts with Alaska Cargo
Amsterdam-based
GSSA, Kales Airline Services, has gained Alaska Airlines and its group member,
Hawaiian Airlines, as a new client. The Seattle-headquartered carrier (IATA
code: AS) is the 6th largest U.S. airline and is about to serve
transatlantic routes for the very first time since its founding 94 years ago.
Rome and London are the two new European destinations listed on the carrier’s
flight plan.
In its
announcement, Alaska states that it intends to operate a brand new B787 on the
two new routes. The Boeing long-haul passenger aircraft can carry between 15
and 20 tons of cargo per flight in its lower deck compartments, depending on
passenger baggage volumes. The air cargo industry will have daily access to
both intercontinental flights, to and from Seattle.
Daily
flights
Services between Seattle and Rome are set to commence on 29APR26, with Seattle-
London offered as of 21MAY26. While Kales will manage the cargo business at
Rome Fiumicino itself, in the UK, Alaska Airlines will be represented by Wexco,
a fully owned subsidiary of the Kales Group. The Kales Group will also expand
its network offerings with Alaska Airlines in important offline markets such as
Turkey and India.
In a
statement, Kales CEO, Sebastiaan Scholte not only highlights the importance of
the new transatlantic routes for his company’s cargo clients but also hails
Alaska Airlines’ extensive network beyond its main gateway, Seattle. The
network is widespread in the greater Pacific region, hence attractive to
European shippers and forwarding agents alike.
“This
exciting new cooperation with Alaska and Hawaiian enables our group to
significantly expand our network. It allows us to offer our customers more
destinations, not only across North America, but also onward connections to the
Far East and Australia,” illustrates
Scholte.
Nearly 100%
capacity utilization
On the westbound routes, he expects a stable product mix consisting of
machinery parts, garments, luxury items, instruments, and perishables. Chemical
products, automotive, aircraft parts, and household goods are likely to round
off the airfreighted goods.
“We
anticipate nearly 100% capacity utilization on both westbound routes,” said Scholte. With Seattle and neighboring
Vancouver, Canada, there are two economic hubs with high purchasing power.
Furthermore, Seattle-Tacoma International Airport is excellently connected to
the trucking network along the U.S. West Coast.
AS is
responsible for eastbound cargo
Ian Morgan, VP of Cargo at Alaska Airlines, is also convinced that a fruitful
partnership between his airline and the Dutch GSSA will benefit both parties: “Having
Kales represent Alaska Airlines in these new markets, will provide our
customers a seamless experience when working with us. Kales and Alaska share a
dedication to high quality service and will be strong partners as we grow in
Europe.” On its eastbound flights to Rome and London, Alaska Cargo
will manage the pallet and container operations on its own.
In addition
to the extensive domestic U.S. network, Alaska and Hawaiian Air Cargo serve 14
destinations across the Far East, the South Pacific, Canada, and Mexico from
its global gateways in Seattle (SEA) and Honolulu (HNL).
Asked
whether the two transatlantic flights were part of a larger network expansion
plan by Alaska Airlines, linking the U.S. Westcoast with Europe, Scholte said
that this had not been discussed between Kales and the airline. “Our
counterparts did not present us any plans in this regard.”
Cargo data in a broken world:
Information is crucial
Air cargo is
being hit from three sides at once: capacity is collapsing, costs are rising,
and demand is turning unpredictable. Jet fuel prices have surged from roughly
USD 90 to nearly USD 200 per barrel at peak levels, forcing airlines to raise
fuel surcharges by as much as 34% in some cases.
The conflict
in the Middle East has disrupted operations through airspace closures, grounded
fleets, and rising fuel and insurance costs, while demand volatility adds
further pressure. Real-time visibility is still missing – and in a market like
this, flying blind comes at a cost. Information is now the single, most
important advantage.
COVID crisis
revival
Six years ago, the aviation industry faced what many believed would be its
worst crisis. Airlines entered survival mode, with many forced into
restructuring under Chapter 11, triggering longer sales cycles, more complex
negotiations, and a sharp increase in stakeholder involvement.
During that
period, airlines rapidly repurposed passenger aircraft for cargo operations –
so-called preighters – in many cases removing seats to
increase capacity. Carriers such as Turkish Airlines and Ethiopian Airlines
were among the early adopters, with both emerging as clear winners as cargo
operations offset losses in passenger traffic.
Not all
carriers survived – but those that did, emerged stronger and, in many cases,
more profitable than before. Today, the industry faces a different kind of
disruption, and the question is no longer whether pressure will build, but how
the market will respond – and where the opportunity lies.
Lower
capacity
The conflict involving the United States, Israel, and Iran, has led to targeted
disruptions across key Gulf hubs, including Abu Dhabi, Bahrain, Kuwait, and
Dubai, with airports and surrounding airspace still affected. These closures
are directly constraining cargo flows to and from the region, with air freight
experiencing the most immediate impact among all transport modes. Global air
cargo capacity has dropped by roughly 22%, with Asia–Europe corridors via the
Middle East down nearly 40% (Reuters).
At the same
time, Emirates, Qatar Airways, and Etihad handle a significant share of global
air cargo flows, with the Middle East region accounting for roughly 13% of
global air cargo traffic (IATA), and a large portion of China–Europe traffic
moving through their hubs. Even short-term movements have seen rates jump 5–6%
within days on disrupted lanes. Their reduced operations have created a
substantial capacity gap, pushing rates sharply higher across major trade
corridors.
Where are
the planes?
As operations contract, aircraft are not disappearing – they are being
repositioned. Some airlines have moved planes to safer regions, while others
have kept them parked in secondary airports or abroad to reduce risk exposure. According to flight-tracking data from
Flightradar24, around 20 Qatar Airways aircraft have been relocated to Teruel
Airport in eastern Spain, a state-owned facility known as one of Europe’s
largest aircraft maintenance and storage sites.
Teruel is a remote airport in rural Spain, which previously served as a major parking facility for grounded aircraft during the COVID-19 pandemic, when it hosted around 140 planes, according to Reuters. The move reflects the airline’s reduced flying schedule, with fewer aircraft needed as airspace restrictions limit operations from its hub in Doha.
Emirates did
not move everything to one storage location. Instead, planes remain distributed
across its network footprint, with many stranded globally, avoiding fleet
concentration in a single high-risk location. On the other hand, Etihad keeps
its planes closer to home, with most of its fleet parked in Abu Dhabi and a
second cluster in Asia.
European key
players – Lufthansa, Air France-KLM, and British Airways – after cutting or
suspending Middle East routes, are redeploying capacity toward Asia as rising
fuel costs and airspace disruptions force network adjustments. In the U.S.,
capacity cuts are not showing as long-term parked aircraft but rather as what
can be described as ‘soft grounding’, with reduced utilization and fewer
rotations.
As a result,
a large portion of the global fleet is either idle, underused, or mispositioned
as capacity cuts of over 20% ripple through the system.
Disrupted
intelligence
Right now, nobody in air cargo has a reliable real-time picture of which
flights are actually operating, where capacity is available, which routes are
at risk, or how prices are moving. Decisions are still being made based on
outdated schedules – and sometimes on gut feeling.
The network
becomes chaotic and reactive. Shipments sit at origin, get rolled last minute,
or miss connections entirely. Ground handling teams are overwhelmed by
unpredictable volumes, while capacity is either wasted or unavailable where it
is needed most. Paradoxically, global cargo demand is still growing – up 5.6%
year-on-year in early 2026 – while capacity is lagging behind at just 3.6%
(IATA). Constant rebooking turns operations into firefighting.
Current data
sources include Automatic Dependent Surveillance–Broadcast (ADS-B) flight
tracking, NOTAMs (airspace restrictions), airline schedule changes, and
unofficial airport congestion signals. What matters is not more data, but the
ability to act on it.
Forwarders
and airlines need to know which routes are about to fail, which lanes remain
stable, and when to shift capacity before disruption hits. The advantage lies
in deciding – early and with confidence – where to route cargo, which carrier
to trust, and when to avoid a corridor entirely.
Even the
major booking platforms – cargo.one, CargoAi, and WebCargo by Freightos – have
digitized booking and rate aggregation, but they still lack predictive
disruption intelligence and do not show, in real time, which carriers are
actually operating reliably or where capacity is truly available.
Routing
optimization engine
The gap between quoted rates, booked rates, and actual executed rates is
widening with rate movements of up to 70% on key lanes within weeks, making
static pricing models increasingly unreliable. What is missing, is a system
that can show the true market price – per lane, per day – along with price
trends and airline price differences.
The highest
leverage right now, lies in the ability to predict airspace closures,
congestion spikes, and route instability. Traditional routes are broken, yet
many still operate within outdated lane structures.
A system
capable of suggesting alternative routings, including hybrid solutions such as
air+truck or sea-air, would add immediate operational value. What is needed is
a ‘Bloomberg terminal’ for air cargo – replacing long-term
contracts with dynamic decision-making tools that reflect the reality of
volatile markets.
The missing
layer
Today, most companies have data, but they neither share it nor monetize it
effectively.
Pricing data
sits in one system. Capacity signals in another. Disruption indicators are
scattered across tracking feeds, NOTAMs, and operational updates. None of it
connects fast enough to be useful.
Systems
capable of delivering pricing intelligence, capacity reliability scoring, and
disruption prediction – answering the question ‘what should I do now?’ – are
still missing.
In a world
of continuous disruption, the model itself needs to change. How data is
collected, shared, and monetized will define the next phase of the industry and
who captures the value.
This is the
moment to rethink how data is shared in air cargo, not as isolated datasets,
but as a real-time decision layer.
In an
industry that moves roughly one-third of global trade by value, even small
informational advantages translate into significant financial impact. The next
winners won’t control aircraft. They’ll control information – and act on it
faster than everyone else.
I hope you have
enjoyed reading the above news letter.
Robert Sands
Joint Managing Director
Jupiter Sea & Air Services Pvt Ltd
Casa Blanca, 3rd Floor
11, Casa Major Road, Egmore
Chennai – 600 008. India.
GST Number : 33AAACJ2686E1ZS.
Tel : + 91 44 2819 0171 / 3734 / 4041
Fax : + 91 44 2819 0735
Mobile : + 91 98407 85202
E-mail : robert.sands@jupiterseaair.co.in
Website : www.jupiterseaair.com 1Branches : Chennai, Bangalore,
Mumbai, Coimbatore, Tirupur and Tuticorin.
Associate Offices : New Delhi, Kolkatta, Cochin &
Hyderabad.
Thanks to :
Container News, Indian Seatrade, Cargo Forwarder Global &
Air Cargo News.
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