As global supply chains continue to adapt to afterbirth re -isolated processes, the latest Pacific Asia and the Pacific shed light on H1 2025 by Knight Frank on a contradictory path in regional logistical performance. While the average logistical services rents throughout the Asia and Pacific region (APAC) decreased by 0.4 percent on an annual basis-the first annual decrease since 2020-India recorded a noticeable increase by 3.4 percent, indicating different basics in warehouse demand, manufacturing momentum, and charging flows. This difference carries significant effects on the air freight sector, especially with the reassessment of trucks and transport companies from the network strategies through a volatile scene and a geopolitical scene.
Amid the opposite winds of the macroeconomic economy and the reorganization of the customs tariffs, the continuous growth of the rent in India – especially in cities such as Mumbai, Bengaluru, and Delhi NCR – continue to have a reinforcement role as a regional export node. For air cargo planners, this transformation translates to an increase in pressure on India Gate airports and a delicious increase in high -yield shipping solutions.
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Logistical momentum in India
The logistics market in India seems to reduce the downs of the wider APAC. The global purchasing managers of manufacturing in the country (PMI) rose to the highest level in 14 months at 58.4 in June 2025, confirming the output of the powerful factory, a record height in employment, and international sales acceleration. According to Knight Frank, the manufacturing recovery supported this continuous demand directly, allowing Indian logistical services markets – especially in Mumbai, Bangaluru and Delhi NCR – to spread an increase in rents by 3.4 percent, an increase of 2.1 percent in H2 2024.
This momentum translates into a power pressure on the infrastructure of the air charging. Through the intensive export industries-berries, electronics, pharmaceutical preparations, textiles-make sizes, and level airports 1 such as Mumbai (BOM), Hyaydad (HYD), Delhi (DEL), facing higher use than slow capabilities and transportation capacity. According to IATA, international air traffic in India has grown by 6.9 percent year on an annual basis in the second quarter of 2025, which exceeds the global average of 5.3 percent.
“The growth of the rent seen in this period not only reflects the confidence of the occupier, but also reflects the country’s capabilities on the development as a major logistical center in the Asia and Pacific region,” noted by Knight Frank India.
From China to India
This transformation comes at a time when occupiers occupy the APAC operating effects. The Knight Frank report cited a strategic charge for shipments before the end-of-tariff-to-date dates-especially in response to US tensions, continuous speech and carbon border modifications to the European Union-as stirring to demand for short-term warehouses. However, besides this temporary height, there is a long -term restoration.
“India, with the structure of a more competitive tariff as well as lower costs, appears as an important node in China’s more than China strategies. It is expected that the occupiers in the region will remain flexible in adapting and developing their supply chain strategies,” explains Christine Lee, head of research in the Asia Pacific region at Knight Frank.
Air freight networks, which are traditionally focused on the centers in Hong Kong, Guangzhou, and Shanghai, will diversify towards Indian gates. The change in recharge data is already reflected: WorldACD was reported that 3.1 percent on an annual basis in the air cargo load that arises from India to the European Union and the United Kingdom in H1 2025, while China’s sizes fell from the mainland to these destinations by 2.7 percent.
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The occupier strategy
Despite the increased demand, logistical vacancies in India have increased modest due to the introduction of the new speculative offer that enters the market. For players in the field of air freight, this represents a challenge and an opportunity. The availability of the area adjacent to the main multimedia axes provides a field for the development of the cold chain warehouse, worship storage, distribution in the last drugs of the drug sectors, damageable materials, and electronics.
“The real estate portfolios are increasingly reshaped to support the most flexible regional supply chains,” said Tim Armstrong, the global head of the occupier strategy at Knight Frank.
For air cargo operators, this indicates a potential transformation in charging, freight unification points and third -party logistics partnerships (3PL). Moreover, as new Indian airports such as JOWAR (Nuwaida International Airport) and Navi Mumbai airport come online after 2015, preparing air charging and e -commerce logistics across border growth.
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