What Is Air Freight: Benefits, Costs, & Process

Air freight is a specialized logistics method involving the transportation of goods across long distances using aircraft and airport infrastructure. This system is a fundamental component of modern global supply chains, enabling the swift movement of products between international markets. The air logistics network relies on commercial airlines and dedicated cargo operators, providing a highly structured and regulated environment for global shipping.

Defining Air Freight and Cargo Types

Air freight moves goods through two primary channels: dedicated cargo aircraft, known as freighters, and “belly cargo.” Freighters are designed exclusively for cargo, offering maximum capacity for large or outsized shipments. Belly cargo utilizes the lower deck of commercial passenger flights, providing a flexible network for smaller or less time-sensitive goods.

Cargo is consolidated and secured using Unit Load Devices (ULDs), which are specialized pallets or containers shaped to fit the aircraft’s fuselage. ULDs maximize space utilization and facilitate efficient handling at the airport terminal. Goods are categorized as either general cargo, such as apparel or electronics that require minimal special handling, or special cargo. Special cargo encompasses items with specific needs, such as temperature-controlled pharmaceuticals, live animals, or hazardous materials, which require specialized containers and strict compliance protocols.

The Major Benefits of Air Transport

The primary advantage of air transport is its speed, which is unparalleled by other modes of shipping. Transit times are typically measured in days, often ranging from one to five days, a considerable reduction compared to the weeks or months required for ocean transport. This rapid delivery capability supports just-in-time manufacturing models and allows quick response to fluctuating market demands.

Air freight also provides a high degree of schedule reliability, as flights operate on fixed, frequent timetables. They are less susceptible to external delays like port congestion or severe weather events that affect sea lanes. The inherent security of the air transport network is characterized by strict airport security protocols and fewer handling points. This reduced handling minimizes the risk of theft and damage, making air transport the preferred choice for high-value or perishable goods.

Understanding the Drawbacks and Limitations

The most significant constraint of air freight is the high cost, which is substantially greater than other transportation methods like ocean shipping. This elevated expense is due to the high fuel consumption of aircraft and the complex operational costs of running a global airline network. For many bulk or low-value commodities, this cost difference makes air transport economically unviable.

Capacity limitations also present a drawback, as aircraft can only accommodate a fraction of the volume and weight carried by sea vessels. The dimensions of cargo are strictly limited by the aircraft’s size, particularly for belly cargo, constraining the shipment of excessively large or heavy items. Furthermore, air transport generates a higher carbon footprint per ton-mile than sea transport, posing an environmental concern. The reliance on airport infrastructure means that final delivery to remote or inland locations requires complex localized trucking arrangements.

The Factors Determining Air Freight Costs

Air freight pricing is determined not simply by physical weight but by a calculated metric called “chargeable weight.” This concept ensures that carriers are compensated for both the weight and the space a shipment occupies. The chargeable weight is the higher of two values: the actual gross weight (the physical weight of the cargo and its packaging) or the volumetric weight.

Volumetric weight, also known as dimensional weight, is a theoretical weight based on the shipment’s dimensions. It is calculated using a standard industry formula, typically dividing the cubic volume of the package by a dimensional factor, such as 6,000. If a lightweight shipment takes up a lot of space, it will likely have a higher volumetric weight than its gross weight, and that higher figure determines the final freight charge.

The final cost also includes various surcharges applied on top of the base rate. These common surcharges include:
Fuel Surcharge (FSC), an adjustable fee that offsets the volatile cost of jet fuel.
Security Surcharge (SSC), levied to cover extensive security and screening measures mandated by authorities.
Terminal Handling Charges (THC) for moving cargo within the airport facility.

Step-by-Step Air Freight Shipping Process

The air freight process begins when a shipper contacts a freight forwarder to book space and prepares the goods for transport. After booking is confirmed, the cargo moves to the origin airport’s terminal, where it undergoes a strict acceptance procedure. This step includes verification of documentation and physical inspection of the packaging and labeling.

A mandatory document in this process is the Air Waybill (AWB), issued by the carrier or forwarder. The AWB serves three primary functions:
A contract of carriage between the shipper and the carrier.
A receipt for the goods.
A tracking tool using its unique 11-digit number.

For shipments consolidated by a forwarder, a House AWB (HAWB) is issued to the shipper, while the airline issues a Master AWB (MAWB) to the forwarder.

The accepted cargo goes through mandated security screening before it is palletized into ULDs and loaded onto the aircraft. Upon arrival at the destination airport, the cargo is unloaded and moved to a terminal for deconsolidation and customs clearance. Customs authorities rely on the AWB information to expedite clearance and assess applicable duties or taxes. Once cleared, the cargo is collected by the designated agent or transported to the consignee’s premises.

Essential Regulations and Security Compliance

The air freight industry is governed by an extensive framework of regulations designed to ensure safety and security across the global network. The International Air Transport Association (IATA) establishes global standards for air cargo operations, which are enforced by local governmental bodies like the Transportation Security Administration (TSA) in the United States. These regulations dictate everything from cargo acceptance procedures to aircraft loading requirements.

Compliance with Dangerous Goods Regulations (DGR) is a complex aspect of air freight. The DGR provides strict rules for the packaging, labeling, documentation, and handling of materials that pose a risk during flight, such as corrosive chemicals, flammable liquids, or radioactive substances. Lithium batteries, commonly found in electronics and a source of fire risk, are subject to highly restrictive regulations. Carriers must adhere to rules that limit the Watt-hour rating of rechargeable batteries and often prohibit certain high-risk configurations from being carried on passenger flights.