The global race for artificial intelligence is influencing Asian air cargo, with high-value semiconductors, servers, and data center infrastructure becoming a significant growth factor. Korean Air's second-quarter cargo revenue rose 46% year-on-year to 1.54 trillion won (approximately $1.07 billion), driven by AI-related shipments such as chips and server racks, surpassing Chinese e-commerce deliveries.
The shift is partly driven by trade policy changes. The United States removed duty-free treatment for low-value packages from China, and the European Union is considering similar measures. China's low-value product and e-commerce exports fell 7% in May, the sixth consecutive monthly decline, further dampening demand for conventional e-commerce air freight.
Production and route restructuring
In the AI production chain, Japan exports semiconductor manufacturing equipment, South Korea produces advanced memory chips, and Taiwan manufactures advanced processors. Meanwhile, Vietnam, Malaysia, Thailand, and Singapore are taking a greater share in AI server production and assembly, primarily for data centers in North America and Europe. Singapore Changi Airport's air cargo volume in Q2 2025 rose 9.8% year-on-year to 567,000 tons, driven by semiconductor demand.
Airlines are increasing flights connecting production hubs such as Taipei, Bangkok, and Hanoi via Tokyo to North America and Europe. Taiwan-based airlines are adding more cargo flights to Southeast Asia as production spreads beyond China. Demand has already caused capacity congestion at Taiwan's air cargo centers; by July 2025, finding cargo space on routes from Taipei to the US and within Asia had become difficult.
AI cargo requires special handling — protection from shock, humidity, temperature, and vibration — and some airlines use specialized software for loading. The restructuring of air cargo routes between Asia and Europe could enhance Turkey's role as a transit hub, leveraging Istanbul's geographic position. However, opportunities are not limited to transport revenues, but also include secure storage, customs clearance, insurance, fast transfer, and sensitive cargo handling services.
Asian airlines have not yet announced specific AI cargo capacity to Turkey; Turkey's share depends on airline schedules, Istanbul's cargo infrastructure, and freight competition on Asia-Europe routes. Geopolitical tensions in the Middle East remain a risk: airspace closures, fuel cost increases, or flight diversions could raise transport costs for AI products.
If major tech companies release new processors and continue data center investments, air cargo demand is expected to remain strong in the second half of 2026. Analysts note that the new race for airlines will be about carrying the most valuable and urgent technology loads rather than the most packages.