Ryan Petersen

Yeah, great.

Thanks for having me on.

Especially we're seeing an air freight market, which obviously is very jet fuel driven, but also the Middle Eastern air carriers, I think Emirates and Qatar and Etihad, and I guess Saudi, which is the Saudi one, they represent 18% of all air cargo capacity in the world.

Emirates is the world's biggest airline, I think, and Dubai is the biggest air cargo airport in the world.

So it's just a huge, and those have basically been taken offline.

They started to eke their way back up.

I didn't see the latest today, but they were trying to bring flights back and then new attacks at the airport.

They've more or less ramped that way, way down.

So especially Asia to Europe, the air cargo prices are double.

In fact, we at Flexport have built this service to ship going from

Asia to Europe, we're shipping cargo across the Pacific Ocean, bringing it to LAX, and then flying it to Europe from Los Angeles, which is suboptimal, to say the least, but saving people money by doing it that way and getting it there.

Actually, the biggest impact on ocean freight is the Persian Gulf is not that big of a deal from a container shipping standpoint.

The bigger story, obviously, by far, is oil.

You mentioned fertilizer, some of these other...

downstream kind of things that come off of the petroleum products.

But the bigger story from container shipping is the Red Sea, which we have not been using.

Container ships have effectively not been going through the Red Sea since December of 2023 with the Houthi attacks, these terrorist attacks in the Red Sea.

And in February, the carriers, three of them had just started to return service via the Suez Canal.

And they immediately pulled out for too much.

It was too risky.