Middle East Military Conflict Disrupts Shipping Cost For Vapes

With the escalation of military conflicts in the Middle East, including US Israel military actions and Iran’s retaliatory retaliation, the shutdown of key air hubs is affecting the global air cargo network.
For Chinese vape exporters, this regional turmoil has actually cut off the ‘Air Silk Road’, not only causing the customary price cuts after the Spring Festival to come to nothing, but also presenting a completely different polarization of the supply chain situation in the European and American markets.

About 30% -40% of the air transportation capacity of vapes exported from China to Europe relies on Middle Eastern hubs such as Doha, Dubai, and Abu Dhabi for transit.
As the situation related to Iran escalates, airlines such as Qatar Airways (QR), Emirates Airlines (EK), and Etihad Airways (EY) are facing uncertainty in their transit stability and flight arrangements.
In contrast, there have been no significant disruptions in the logistics of vapes exported from China to the United States.

The seasonal decline in European routes has not occurred

After the Spring Festival in previous years, the freight rates for European routes usually dropped significantly, even to single digits (RMB/kg). But this year, the freight rate for the European direction remains at about 30 yuan/kg, which is basically the same as before the holiday.
The future price trend of the European line depends on the support of cargo volume:
• If the customer resumes normal shipping rhythm at the 30 yuan level, the current price may be maintained;
• If the cargo volume is insufficient, there is still downward pressure on freight rates.

The risk of rising fuel prices or expanding the scope of impact

If the situation in Iran remains tense, international oil prices may rise in the next one to two months. The rise in aviation fuel costs will increase airline operating expenses and may be transmitted to global routes through fuel surcharges.
At present, the impact is mainly concentrated on European routes, but if fuel prices rise, transportation costs in other directions such as the United States may also be indirectly affected.

Alternative transportation options are limited and there is currently no way to change the current situation

Due to the risk of oil leakage and stability of vape products, they have mainly relied on air transportation for a long time.
At the same time, the disturbance in the Red Sea weakened the stability of the Suez Canal route. If we detour around the Cape of Good Hope, the shipping cycle of the European route may be extended to about 70 days.
In the current environment, sea freight is still not feasible for most export companies, making them more reliant on the fluctuating air freight system in the European direction.

2026 is destined to be an extraordinary year, Dank Smoke held a management meeting yesterday and summarized the sales situation for 2025, which showed a significant decrease compared to 2024. CEO Phoebe encourages everyone to continue working hard to ensure the best vape products are delivered to customers. As a well-known vape manufacturer in the industry, we do our job well. Leave the best foundation for us in the future.