The document discusses the state of the air cargo industry, noting that while global air cargo volumes have recovered from pre-recession levels, demand remains lagging behind expectations. It highlights various regulatory challenges and issues facing the sector, such as infrastructure investment and legislative initiatives affecting operations. The Airforwarders Association (AFA) encourages connectivity among its members and emphasizes the importance of addressing adverse regulations to maintain competitive advantages.

1. {
The Road to
Recovery
Brandon Fried, The Airforwarders Association

2. Who is AfA?1 Trade Logistics
20-20 Freight Systems
24-7 Specials LLC
7LFreight
A&F Services
A.S.A.P. Logistics Ltd
ABF Freight System
ACI Cargo, Inc.
Advanced Freight Service, L.L.C.
Aer Lingus Cargo
Aerocheck Cargo Security
Aeroterm
AFC Worldwide Express, Inc.
Air Animal, Inc.
Air Cartage Express LLC
Air Charter Authority LLC
Air Dispatch Inc.
Air Freight Plus, Inc.
Air Link Express
Air Menzies International

3. DOT
PHMSA
FMCSA
FAA
MAP-21
HOS
CSA 2010
ACAS
CBP
AMS
TSA
Alphabet Soup

4. Growing Regulatory Maze

5.  IACSSP changes in
the fall
 Reorganization
 KSMS
improvements
 STAs are still
painful
TSA

6. CBP

7. Cocreation

8. ACAS

10. Rules Must be
Harmonized

11. IATA: Going Paperless

12. E-freight

13. Education

14. AfA Members are
Connected!

15. The Year Ahead

16. Air Cargo is Flat

17. Health
Pharmaceuticals
Healthcare
Perishables
Smartphones &
Tablets
Numbers Up
But Signs of Hope!

18. GLOBAL AIR CARGO VOLUMES
Global air cargo volumes have recovered from pre-
recession levels (2007-2008).
Source: ACI Worldwide Airport Traffic Report Summary.
Note: The Airport Traffic Report Summary is a comparison of airports with complete data series for the 12-month period under review. 2012E is an annualized value based on data through
September 2012.
0
10
20
30
40
50
60
70
80
90
100
2007 2008 2009 2010 2011 2012E
MetricTons(inmillions)
Air Cargo Volumes by World Region (metric tons):
Asia-Pacific North America Europe Middle East Latin America Africa

19. While air cargo volumes have
increased, demand is lagging and 5-6 years
behind expectations.
LAGGING DEMAND
0
5
10
15
20
25
30
35
40
45
Africa Asia-Pacific Europe Latin America Middle East North America
MetricTons(inmillions)
Gap Analysis: Actual 2011 vs. Projected 2011 Air Cargo Volumes by World Region (metric tons):
Actual Projected

20. More Issues

21. Infrastructure Investment

22. Unknowns

23. It’s the Stupid Economy

24. ObamaCare

25. 3-D Printing

26. Trucking Issues
Hours of service
MAP-21
Surety bonds for
forwarders
CSA 2010
Negligent selection
Vicarious liability
Driver shortage

27. Lithium Battery Drama:
One Incident Away

28. Never underestimate the
power of stupid people in
large groups.

29. Possible Legislative
Initiatives
 CBP Authorization Bill
 Grand Bargain Legislation
– Increased User
Fees/Additional Security
Fees?
 84 new House members
 14 New Senators

30. Executive Branch Issues
ACAS
TSA could be impacted
by change of
Congressional
leadership – more
scrutiny?

31. Kicking the Can

32. Sequestration

33. 246 Airport Control
Towers
1500 employees
9000 TSA airport
Screeners
1600 CBP inspectors
Sequestration!

34. Free Trade Agreements

37. At the Table…

38. On the Table!

39. • DHS Aviation Security Advisory Committee
• TSA Informal KSMS User Group
• CNS/IATA Advisory Board
• US Chamber of Commerce Supply Chain Security
Group
• COAC Air Cargo Advisory Committee
• TIACA Air Cargo Security Committee
• Airports Council International Air Cargo Committee
• Transportation Research Board
• Lithium Battery Coalition
• DHS Critical Infrastructure Protection Air Cargo
Security Working Group
We’re Involved in D.C.!

40. Things to Remember…
Adverse regulations & other non-
tariff barriers are detrimental to the
supply chain and U.S. competitive
advantage.
Federal Budget Woes can adversely
affect air cargo
Consumer confidence will increase
spending and improve the
economic situation for air cargo

41. Connect with AfA!

42. www.airforwarders.org

43. Join the AfA!
www.airforwarders.org
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44. Brandon Fried
202-393-2818
Airforwarders.org