On March 19, CNBC reported that the ongoing conflict in Iran has led to the disruption of air freight routes passing through the Middle East. This has posed significant challenges for European chip importers, who are now grappling with escalating costs and delivery delays. Consequently, they have been compelled to tap into their inventories and shoulder higher freight expenses.

Since the eruption of hostilities on February 28, airports and shipping operations have come under frequent attack, resulting in widespread chaos in freight routes. According to data from logistics firm DSV, global air freight capacity—primarily utilized for transporting high-value electronics like semiconductors—has plummeted by around 9% compared to pre-conflict levels.

Kriken, the head of air freight at DSV, stated that inventories are expected to continue dwindling in the coming weeks, with little hope for freight rates to return to normalcy anytime soon. He highlighted that European automakers are bearing the brunt of the impact. Although many buyers have refrained from significantly cutting back on imports, they have had to pay premiums to secure timely deliveries.

A source from a European chip company disclosed that some shipments have been delayed by several days, with air freight costs surging and the outlook for the coming months remaining uncertain.