Airfreight carriers have begun announcing increases to fuel surcharges as oil prices surge in response to the war in Iran. In addition to crude oil production, the Middle East is an important supplier of refined jet fuel, which is typically produced for immediate consumption and not stored long-term. The sudden disruption of oil refinement and distribution chains has drastically affected fuel supply and prices. Global refining capacity is limited and cannot be ramped up quickly enough to absorb such turbulence.
Major carriers have announced a 40% increase to take effect by March 16th, with others expected to quickly follow suit. As these increases take hold across the market, O.T.S. will need to adjust the current airfreight fuel surcharge to reflect the carrier driven changes.
O.T.S. will continue to monitor this fluid situation and provide updates as they become available. Please do not hesitate to reach out to your O.T.S. Sales Representative for more information.