||This report is motivated by recent developments in the relationship between air freight and climate change. Climate change due to human effects is a long term phenomenon that threatens the global environment and economy. In committing to reduce emissions through climate change agreements such as Kyoto, United Nations Framework Convention on Climate Change, EU Emissions Trading, APEC, and bilateral agreements, countries are also committing their business communities. As much of the production of greenhouse gases is attributed to energy consumption, emission reduction will have a profound impact on energy-intensive industries such as international air freight. The processes used to reduce emissions will impact the fundamental assumptions of current business models used in the air freight industry.