United Airlines Adds Market Disruption Surcharge to Cargo Rates Starting May

Key Details United Airlines will implement a new 'market disruption fee' on cargo shipments effective May 1. The surcharge aims to offset rising operational costs driven by geopolitical tensions and elevated jet fuel prices. Rates will vary by region, requiring shippers to contact their United sales representative for specific pricing on individual trade lanes. Why It Matters Jet fuel costs have nearly doubled since late February, creating significant pressure on airline operating expenses. The fee covers multiple cost factors beyond fuel alone, including supplier and partner expenses. Similar moves are spreading across the industry - the U.S. Postal Service recently announced an 8% parcel surcharge for comparable reasons. The Paradox United's cargo revenue declined 1.6% year-over-year to $422 million in Q1, a surprising drop given that the global air cargo market grew 6.5% during the same period. Competitors fared better: Delta posted a 9% cargo revenue increase to $226 million, while American Airlines jumped 12.9% to $219 million. United has not explained why it underperformed the market despite spot rates jumping 25-40% since March. What's Next United will evaluate market conditions and adjust the surcharge as circumstances evolve, though no timeline for changes has been announced. Shippers should expect further cost adjustments across carriers as fuel and operating expenses remain elevated.