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Air freight vs. sea freight: the ultimate guide to choosing the right mode for your shipments

July 31, 2024 / US
Air freight vs. sea freight: the ultimate guide to choosing the right mode for your shipments

When it comes to international freight, shippers need to get their products to the final destination quickly and cost-effectively. It’s of the utmost importance. But when shipping goods across continents, a critical decision comes to the fore: air or sea freight?

Understanding the key differences between these two modes of transportation, along with their respective pros and cons, is essential for shippers looking to make informed choices. This ultimate guide will equip shippers with the know-how and insights needed to figure out the air freight vs. sea freight debate. Shippers can also connect directly with an Uber Freight expert to explore international shipping options based on their unique needs. 

Air freight overview

Air freight refers to the transportation of goods and cargo by airplanes. It’s characterized by its unparalleled speed, which makes it the fastest mode of international shipping, and its use of various types of aircraft, including dedicated cargo planes with expansive holds and passenger planes that carry cargo in their belly compartments.

Pros of air freight

  • Speed and Reliability: Air freight reigns supreme in terms of speed. Shippers can expect shipments to reach their final destination in a matter of hours or days, compared to weeks or even months by sea. On top of that, air schedules tend to be more reliable, with less disruption from weather or unforeseen circumstances like geopolitical tension or blockades. 
  • Heightened Security: Air cargo undergoes more rigorous security checks than sea-bound freight, which provides shippers with some peace of mind for valuable or sensitive shipments.
  • Ability to Reach Remote Destinations: Air freight offers access to even the most remote locations with operational airports, which makes it a valuable option for geographically diverse supply chains.

 

Cons of air freight

  • Higher Costs Compared to Sea Freight: Speed comes at a price. Air freight is significantly more expensive than sea freight, typically calculated by weight and volumetric weight (the space the shipment occupies). 
  • Stricter Restrictions on Hazardous Materials: Due to safety regulations, air freight has stricter limitations on the types and quantities of hazardous materials it can transport.
  • Environmental Impact and Carbon Emissions: Air travel is a significant contributor to greenhouse gas (GHG) emissions. Currently, with global climate-related initiatives taking the limelight, companies with a strong environmental focus may need to weigh this factor into their transportation decisions.

 

Sea freight overview

Sea freight, also known as ocean freight, is the transportation of goods and cargo by large container ships across oceans and seas. It’s the most prevalent mode of international freight shipping and is known for its massive capacity and ability to handle a wide variety of cargo types. 

Pros of sea freight

  • Cost-Effectiveness, Especially for Larger Volumes: Sea freight offers the most cost-efficient method for transporting large quantities of goods internationally. The cost per unit weight typically decreases as shipment size increases, making it ideal for bulk cargo. 
  • Ability to Transport Oversized or Irregular-Shaped Cargo: Cargo ships can accommodate oversized or irregularly shaped items that wouldn’t be suitable for air travel, which, of course, offers a much more compact, cylindrical space. This includes all sorts of products from machinery, vehicles, and large industrial components. 
  • Flexibility with Hazardous Materials: Where air freight has heavier restrictions against hazardous materials, sea freight generally has more relaxed regulations regarding their transportation. 
  • Lower Carbon Footprint than Air: Sea travel generates significantly less carbon emissions per unit of cargo compared to air freight, which is an absolutely crucial consideration for environmentally conscious shippers looking to meet net-zero ambitions in the coming decades.

 

Cons of sea freight

  • Slower Transit Times: The primary drawback of sea freight is its extended travel time. Shipments that travel by air take a matter of hours, while those that sail the seven seas can, unfortunately, take weeks or even months to reach their destination, depending on the route and potential delays. 
  • Potential for Delays Due to Unforeseen Circumstances: Sea freight is more susceptible to delays caused by external factors—factors entirely out of the shipper’s control. These can include unpredictable weather conditions, port congestion, and customs clearance procedures. 
  • Less Reliable than Air Freight: Due to the factors mentioned above, sea freight can be less reliable in terms of guaranteed delivery times than air transport, which has tighter schedules.

 

Choosing between air and sea: the decision-making framework

When shippers need to choose the optimal mode of transport, it is understandably tough. Smaller shipments at pace for a high price, or larger shipments at snail-pace for a reduced price? The decision hinges on a few key factors specific to the shipper’s need, of course. Below, we have broken down the main considerations:

International Commercial Terms

Incoterms, or International Commercial Terms, define responsibilities and risks between buyer and seller during international shipping. Understanding the designation Incoterm can influence a shipper’s choice, as some may shift responsibility for specific costs or delays associated with choosing air or sea freight. For example, Incoterms like CFR (Cost and Freight) typically place the risk of loss or damage on the buyer once the goods are loaded on board the vessel, while Incoterms like DDP (Delivered Duty Paid) place this responsibility on the seller until the goods are delivered to the final destination.

Shipment size and weight

Chargeable weight calculations for air:

Air freight costs are typically based on either the actual weight or dimensional weight (calculated by multiplying the package length, width, and height)—whichever is higher. This can make lightweight yet bulky items much more expensive than expected.

Full container load vs less than container load for sea:

Sea freight is often priced by the container. For full container loads (FCL), shippers pay for the entire container, regardless of how much space they use. Less than container load (LCL) shipments share space with other cargo in a container, offering a more cost-effective option for smaller shipments but potentially with longer lead times due to consolidation processes.

Tipping points where one mode becomes more cost-effective than the other:

There’s a crossover point where air freight becomes more cost-effective than sea freight for specific shipment weights. This tipping point depends on the specific route, commodity, and current market rates; shippers should consult with a freight forwarder to determine the most economical option for their unique situation.

Remember, when deciding between the two options, consider total landed cost, which may include factors like customs clearance, inland transportation, insurance, and the Incoterm chosen.

Urgency and delivery deadlines

Typical port-to-port transit by mode:

Air freight is notably faster than cargo traveling by sea. Deliveries can be completed within a few days, while sea freight can take weeks or even months, especially when considering potential delays—primarily unpredictable weather conditions, port congestion, or customs clearance issues. For non-direct port-to-port services, transshipment at intermediate ports can further extend transit times, as shippers’ cargo waits for a connection on a feeder’s vessel to the main route. 

Express air freight and expedited ocean services for time-sensitive shipments:

For the most urgent needs, express air freight offers the fastest delivery option, albeit at a premium cost. Sea freight also has expedited services with faster transit times compared to standard options, but still significantly slower than air freight. 

Regardless of the chosen mode, shippers should build buffer times into schedules to help mitigate potential delays. 

Product characteristics

Perishability and shelf life considerations:

For perishable goods with short shelf life or pharmaceuticals, air freight is the clear choice to ensure timely delivery and reduce the risk of spoilage.

Value and security requirements:

High-value or sensitive cargo may benefit from the heightened security measures typically associated with air freight, reducing the risk of theft or damage to goods.

Hazardous materials restrictions:

Air freight’s stricter limitations on the types and quantities of hazardous materials it can transport make seafaring a more likely candidate for this type of cargo. However, shippers should, again, consult their freight forwarder to ensure compliance with regulations for specific cargo.

Environmental impact and sustainability goals

Carbon footprint comparisons between modes:

Sea freight isn’t exactly clean, but it has a significantly lower carbon footprint per unit of cargo than air travel. Shippers who intend to hit sustainability targets or have stakeholders who hold ESG in high regard should prioritize sea freight whenever feasible.

Eco-friendly practices, slow steaming, and carbon offsets:

Some ocean carriers offer eco-conscious shipping options like “slow steaming,” which reduces fuel consumption and emissions. It’s a lot slower, of course, but it exponentially increases shippers’ investment in the protection of the world. If the delay isn’t worth the hassle, consider getting involved with a carbon offset program to neutralize the impact of the shipments.

Supply Chain Resilience

Mitigating risks of disruptions and delays: 

Sea freight can be more susceptible to disruptions from unpredictable weather and port congestion to unforeseen disasters and human error, which, in recent times, have proven to be nightmarish. (Think: Ever Given locking the Suez Canal in 2021 and the Francis Scott Key Bridge collapse in 2024.) Multi-modal shipping strategies, combining air and sea freight depending on the urgency of specific goods, can help mitigate these risks—whether chosen from the outset or even just as a bailout method.

Importance of multi-modal and adaptive strategies:

Relying solely on air or sea freight can leave shippers’ supply chains vulnerable. Unexpected disruptions, like port congestion or natural disasters, often wreak havoc on delivery timelines. Multi-modal shipping offers a solution to this instability. The combination of air and sea freight-based deliveries, dependent on specific needs, brings a whole host of advantages to the table. 

Firstly, multi-modal strategies mitigate risk. By diversifying their transportation options, shippers are less susceptible to disruptions that might impact a single mode. Secondly, it provides flexibility. Take, for example, a shipper that needs to transport finished furniture from a supplier in China to a customer in Europe. The final assembly might occur in a European country like Poland. In this instance, the delicate and more intricate components could be flown directly from China to Poland via air freight. Meanwhile, the bulkier and sturdier furniture pieces, like pre-assembled table legs or pre-cut boards, could be shipped by sea freight to a port in Rotterdam, Netherlands, before being loaded onto trucks for a relatively short land journey to the final assembly point. This multi-modal approach gets the time-sensitive and fragile parts to their destination at pace while keeping the overall cost down by using sea freight for the bulkier items. It’s hybrid, it’s efficient, and it helps shippers strike a balance between speed and cost.

But resilience goes beyond just multi-modal options. Adaptability is equally as important. Proactive planning requires shippers to monitor global events that could disrupt their chosen transport mode. And, in the case of disruption, shippers should have prepared a contingency plan to switch between air and sea freight if necessary to guarantee the timely delivery of goods. The adoption of real-time shipment tracking tools will also provide valuable insights into potential delays, helping shippers to adjust their strategy proactively instead of reactively. 

Think of it this way: multi-modal shipping mitigates risk and offers flexibility, while adaptability empowers shippers to deal with disruptions and develop robust supply chain networks. 

This framework, as well as consideration for all the relevant factors, can equip shippers to make informed decisions about the best mode of transportation. But it is most important that they remember that the optimal choice often lies at the intersection of cost, speed, reliability, and environmental impact—factors that, if the sweet spot can be found, will positively influence the consumer.

The future of air and sea freight

The logistics industry—and especially air vs ocean freight—is constantly changing, often driven by advances in technology and the globally growing focus on sustainability. 

On the air freight side, automation and artificial intelligence are streamlining processes, optimizing loading capacities, and potentially reducing overall transportation costs. On top of that, engineers are working to develop electric and hybrid-powered aircraft, which promise a more sustainable future for air cargo.

Sea freight is also embracing innovation. Larger, more efficient cargo ships are reducing fuel consumption per unit of cargo transported, and in some cases, the adoption of eco-friendly practices like slow steaming further reduces the environmental impact of this mode of transport. Several shipping lines are also investing in alternative fuels like liquefied natural gas as an alternative to oil in their pursuit of lesser carbon footprints. 

Choosing between the two is, of course, a crucial decision for businesses of all sizes. However, shippers must remember to always carefully evaluate their priorities, shipment characteristics, and external factors to find the most cost-effective, reliable, and environmentally responsible mode of transport for their needs. It can be challenging, and while we have given the key details that shippers need, it is  worth partnering with a qualified logistics expert like Uber Freight  who can provide invaluable guidance and ensure shipments reach their destination efficiently and cost-effectively. 

As technology and sustainability continue to reshape the air and sea freight segments of the logistics industry, embracing and adopting them will prove to be most important to shippers in their pursuit of optimized supply chains.

Air and sea freight services at Uber Freight

Transporting goods to another country is a complex process of crossing borders and understanding the many rules and regulations.  Uber Freight streamlines international freight shipping using a network of top-rated shipping carriers.  Uber Freight can plan, coordinate, and execute your worldwide and cross-border global shipping needs, including international air freight shipping and ocean freight shipping.  Our international transportation management team offers tailored freight management and capacity solutions that align perfectly with your business objectives.  Connect with an expert today to learn more.

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