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Citation
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Title
The Effect of Tariffs on Air Cargo
Keywords
The air cargo industry is an essential component of global trade, facilitating the rapid movement of goods and underpinning economic development. However, it now faces increasing uncertainty due to the imposition of tariffs by the United States under Section 232 of the Trade Expansion Act of 1962 and Section 301 of the Trade Act of 1974. These measures introduce volatility into global supply chains, increasing costs and disrupting operational efficiency. In response, the International Civil Aviation Organization (ICAO), the International Air Transport Association (IATA), and The International Air Cargo Association (TIACA) must intensify their collaborative efforts to advocate for regulatory frameworks that protect air cargo from restrictive trade policies.; ICAO, pursuant to its Long-Term Vision for International Air Transport Liberalization, has long endorsed the removal of barriers to air cargo operations. Its Air Transport Regulation Panel (ATRP) continues to develop multilateral agreements that promote market access and regulatory harmonization. Meanwhile, IATA’s Cargo Strategy and Simplifying the Business (StB) Cargo program seek to modernize customs processes and facilitate trade by reducing operational frictions. TIACA’s Air Cargo Sustainability Roadmap further emphasizes the necessity of policy frameworks that ensure stability and resilience within the air cargo sector.; The imposition of tariffs contradicts the principles enshrined in ICAO’s Chicago Convention, Annex 9 – Facilitation, and the Trade Facilitation Agreement (TFA) under the World Trade Organization (WTO). ICAO, IATA, and TIACA must therefore engage in sustained dialogue with States to align regulatory policies with the objectives of air cargo liberalization. By fostering international cooperation and championing trade facilitation, these organizations can safeguard the air cargo industry from disruptive protectionist measures, ensuring its continued role as a driver of economic growth and global connectivity.
Author(s)
Subject(s)
Issue Date
6/30/2025
Publication Type
Journal Article
Digital Object Identifier
Record Identifier
https://ageconsearch.umn.edu/record/359057
ISSN
1496-5208
Language
English
Published in
Estey Journal of International Law and Trade Policy
Volume
26
Issue
1
Page Range
27 - 44
JEL Codes
F1