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AI won't plug forwarder margin leaks without better data and processes

Freight forwarders must tackle unbilled charges, manual rework, and unreliable data before expecting AI to protect their margins, according to Metro Shipping and Portcast. Speaking on The Loadstar Podcast, Ian Powell, tech and solutions director at Metro, said profitability could be eroded by incorrect buy and sell rates, costs not passed on to customers, and repeated administrative work. "If we're constantly reworking activity, if we're raising credits against jobs, re-invoicing jobs, that's not optimal for us from an operating cost point of view," he said. Emma Crumpton, enterprise solutions director at freight intelligence platform Portcast, highlighted detention and demurrage as a particularly complex source of margin erosion. Different free-time allowances, charging milestones, and contractual terms make managing charges difficult at scale. Forwarders may also absorb costs to protect customer relationships. "When I think about detention and demurrage, it's a complexity issue," she said. Technology could help identify approaching free-time deadlines and ensure charges were correctly recorded and billed. But both guests stressed that automation depended on reliable data and understanding the task. Mr Powell said Metro's adoption of airfreight tracking technology included a three-month pilot to integrate systems and resolve problems. Forwarders should identify the root causes of losses, with some problems addressable through process changes. "You don't need to apply AI for the sake of it," added Ms Crumpton. That echoed Australian forwarder Neolink's experience. In an earlier interview with The Loadstar, Sean Crook said around half its shipment workflow incorporated automation. "Automation, to be honest, has probably been even bigger for us than AI," he said. Mr Crook said Neolink's staff were handling 80% to 90% more shipment volume than three years earlier, without an increase in staff numbers. He attributed the gains to both technology and a business model that gives customers a single contact responsible for the relationship from start to finish, reducing departmental handovers. Its approach also relies on obtaining purchase-order information early enough to plan shipments, rather than waiting until goods are ready. Mr Crook said receiving orders two or more weeks in advance helped the forwarder make earlier bookings and choose services suited to customers' actual inventory requirements, avoiding unnecessary premiums for speed they did not need. Meanwhile, The Loadstar's State of AI in Supply Chain 2026 report found 48.7% of respondents cited integration with existing systems as a major barrier to scaling AI; while 53.8% identified insufficient in-house AI expertise and change-management capability. Looking ahead, the podcast guests saw opportunities to turn shipment data into practical insights, while retaining human oversight of decisions affecting customers and profitability.

Airlines strengthen winter freighter links, as forwarders face capacity shuffle

Airlines are strengthening freighter links between Asia, Europe, and the Americas for winter, adding transatlantic flights, connections to Latin American manufacturing and distribution hubs, and capacity serving Asia's technology exports. Air Canada Cargo's new 767-30F services to Amsterdam, Monterrey, and Panama City join selected US frequency increases from Lufthansa Cargo, a new Cairo link from Air France, and additional transpacific options from JAL and Cathay Cargo. The additions come as forwarders renegotiate allocations ahead of the winter passenger timetable, when fewer flights on some routes reduce available belly capacity. Air Canada is explicitly targeting that seasonal gap with its new Toronto-Amsterdam freighter service, which begins on 29 October with two weekly flights. Monterrey starts on 26 October with three weekly services, while Panama City begins on 25 October with up to two. "The introduction of our freighters in Amsterdam is an important step in strengthening our European network," said Matthieu Casey, MD, commercial - cargo. "This gives us dedicated main-deck capacity at a time of year when transatlantic capacity is more constrained, helping us better serve customers in the Netherlands and across Europe, while creating opportunities to connect their cargo through our global network." The additions also provide more routing options between Europe and Latin America through Toronto, including onward connections to Quito, Lima, Bogotá, and Mexico City. For forwarders, the timetable change can mean finding replacement space as airlines redistribute allocations. One airfreight forwarder explained to The Loadstar last month: "You get the winter schedules maybe six, eight, ten weeks in advance, and then obviously you can start renegotiating your capacities." However, those negotiations amid competing forwarders vying for space. "Sometimes they say, 'hey, you have three pallets on that flight, now you can only have two'. And then you need to find space somewhere else." The forwarder described securing replacement capacity from Europe to the US as "a little bit of a challenge". Asian procurement was less sensitive to the seasonal switch, he said, because of year-round block-space agreements. Air Canada's Mexican expansion comes as Washington eases restrictions on the airlines from its southern neighbour. Aeroméxico confirmed on 19 October that the US Department of Transportation had revoked its October 2025 order, restoring flexibility to consider new services and additional frequencies from Mexico City's two airports, subject to regulatory requirements. The dispute had involved passenger slots and the forced relocation of US freighter operations. Elsewhere, Lufthansa Cargo's winter schedule, effective 25 October, offers 88 freighter routes serving 40 destinations, including up to 46 weekly rotations to 17 Asia-Pacific destinations. Singapore joins its Frankfurt-Taipei rotation, creating another intra-Asian connection. Additional Taipei and Chengdu services, and its twice-weekly Frankfurt-Ho Chi Minh City-Shanghai-Los Angeles operation, carry over from summer. Selected US gateways receive additional frequencies, taking Dallas/Fort Worth to four weekly services, Houston to three, and New York JFK to five. Air France-KLM-Martinair Cargo, meanwhile, is adding three weekly Paris-Cairo B777F flights. Its Amsterdam-Seoul freighter operation will run three times a week - one standalone service and two combined with Hong Kong - increasing dedicated capacity on the route. Both Air France and Lufthansa are shifting Mumbai freighter operations to Navi Mumbai, although they are gateway changes rather than additional capacity. Technology demand is another influence on deployment. JAL cited generative AI, semiconductors, and investment in digital infrastructure in its winter cargo announcement. Its offering includes a new twice-weekly Narita-Los Angeles 747 freighter codeshare with Atlas Air, launched on 2 October, alongside six weekly Narita-Chicago services with Kalitta Air, and two Narita-Luxembourg services with Cargolux. Its own 767 freighter timetable adds a weekly Narita-Dalian service. Cathay Cargo has also linked additional Americas freighter capacity for the peak to growth in semiconductor and data-centre equipment shipments from Asia. It expects a leased A330 converted freighter in the fourth quarter, operated on its behalf by Air Hong Kong, to support regional general cargo demand. Latin American perishables provide another source of demand. Emirates SkyCargo said this month it had introduced seven additional weekly South American freighter flights since March, including services to Buenos Aires, Bogotá, São Paulo, and Quito. The changes come against a backdrop of demand outpacing capacity. IATA reported global cargo demand up 4.4% year on year in August, while capacity fell 0.1%. Asia-North America cargo capacity demand increased 13.2%. There may be new connections - but there are also new charges. Air Canada Cargo will increase its airfreight carrier surcharge from 26 October, citing Middle East unrest and rising fuel prices, airport and enroute fees, and currency fluctuations. For UK-origin shipments to Canada and the US North-east/Midwest, the charge rises from 15p to 19p/kg, an increase of almost 27%. For other destinations covered by its long-haul category, the fee rises from 29p to 36p/kg. The surcharge is assessed on gross weight, rather than chargeable weight, and applies across rate products, unless otherwise specified. MSC Air Cargo raised its surcharge from $1.70 or €1.70 to $2.30 or €2.30 per chargeable kg from 16 October, an increase of approximately 35%, with currency determined by country of sale. JAL's Japan-origin long-haul fuel surcharge rose from ¥185 ($1.17) to ¥192/kg on the same date. Its latest calculation used Singapore jet fuel averaging $174.33 a barrel during the second half of last month. The forwarder's September assessment, nevertheless, anticipated a moderate seasonal increase rather than an exceptional peak. "For sure, we do not expect a peak season with rates doubling or anything," he said.

US lifts restrictions on Mexican airlines

Mexican airlines will once again be able to add new flights to the US following the Department of Transportation's (DoT) decision to lift restrictions that had been in place since last year. The Mexican government said on Friday (16 October) that the decision means that airlines based in the country will be able to launch flights from Mexico City's Felipe Ángeles International Airport (AIFA) and Benito Juárez International Airport (MEX) to the US. The ruling follows coordinated efforts between the governments of Mexico and the US and the progress made in fulfilling their bilateral aviation commitments. According to reports, Mexico has agreed to improve airlines' access to MEX. "The decision, which takes effect immediately, is a significant step forward for air connections between the two countries," said the Mexican government. "The decision reflects both governments' willingness to open a new chapter in bilateral aviation relations, based on dialogue, respect for sovereignty, institutional cooperation, international best practices, and ongoing efforts to strengthen the safety and efficiency of air transport." In July 2025, the DoT decided to place flight restrictions on Mexico-based carriers because it felt the country was not in compliance with the 2015 US-Mexico Air Transport Agreement when it required carriers to shift cargo operations from MEX to AFIA. Mexico also froze the expansion of US passenger and cargo operations from MEX. MEX slots were also removed from American, Delta, United, plus Mexican carriers Aeromexico, Viva Aerobus and Volaris in 2022 due to capacity constraints and operational limitations. The moves were made to tackle ongoing congestion at MEX. While Mexican carriers will now be able to add flights to the US, they will still be required to file schedules for flights to and from the US and obtain approval to operate services using large aircraft.