On 28 December 2024 the limit of an air carrier's liability for cargo under the Montreal Convention 1999 rose to 26 Special Drawing Rights (SDR) per kilogram, from 22 SDR/kg. This guide explains why limits change, which shipments get the new figure, and what it means for your claim.
The numbers
| Period | Cargo limit (Art. 22(3)) | Source |
|---|---|---|
| Original text (in force 4 November 2003) | 17 SDR/kg | Convention text |
| From 30 December 2009 | 19 SDR/kg | First ICAO review |
| From 28 December 2019 | 22 SDR/kg | ICAO 2019 revised limits; CTA notice |
| From 28 December 2024 | 26 SDR/kg | ICAO fourth review (note in ICAO list of parties) |
The other limits were revised at the same time: per passenger, 1,519 SDR for baggage, 6,303 SDR for passenger delay and 151,880 SDR for the first tier of death or injury claims, according to ICAO's note on the list of parties. At today's rate (1 SDR is about US$1.36), 26 SDR/kg is about US$35 per kilogram; the calculator uses the latest IMF rate.
Why the limits change: the Article 24 review
Unlike most transport conventions, Montreal has a built-in inflation adjustment. Article 24 requires ICAO, as Depositary, to review the limits every five years by reference to an inflation factor: the weighted average of consumer price inflation in the countries whose currencies make up the SDR. If the inflation factor "has exceeded 10 per cent", ICAO notifies the States Parties of a revision, which "shall become effective six months after its notification" unless a majority of States Parties register their disapproval within three months (Art. 24(2)). An interim review can also be triggered if one-third of the States Parties request it and inflation has exceeded 30 per cent since the last revision (Art. 24(3)).
The 2019 revision, for example, followed an inflation factor of 13.9 per cent, according to the Canadian Transportation Agency's notice.
Which limit applies to my shipment?
The revised limit applies to events from the effective date. In our calculator, a shipment dated on or after 28 December 2024 uses 26 SDR/kg, and an earlier date uses 22 SDR/kg (and earlier figures for older events are not modelled). Exactly which date counts in a borderline case, for example the date of the loss, the date of the contract or the date of the air waybill, can depend on the court. to confirm for shipments spanning 28 December 2024
Try it: the same 200 kg shipment dated 1 December 2024 versus dated 15 January 2025.
Does Montreal apply at all?
The Montreal Convention applies to international carriage by air where the places of departure and destination are both in States Parties (or both in one State Party with an agreed stopping place in another State). ICAO lists 145 parties, including the United States, Canada, the European Union and its member states, the UK, China and Japan. For routes involving non-parties, the older Warsaw system may apply instead, with lower limits. Check your route in the calculator or on our Montreal Convention page.
Key features of the cargo regime
- Strict liability, few defences. The carrier is liable for destruction, loss or damage if the event took place during carriage by air (Art. 18(1)). It escapes only if it proves inherent defect of the cargo, defective packing by someone other than the carrier, war, or an act of public authority in connection with entry, exit or transit (Art. 18(2)).
- The limit is very hard to break. Article 22(5), which removes limits for intentional or reckless conduct, refers only to the passenger delay and baggage limits in paragraphs 1 and 2. It does not apply to the cargo limit in paragraph 3. So, unlike CMR or Hague-Visby, even serious misconduct does not normally lift the cargo limit.
- Weight that counts. If only part of a shipment is lost or damaged, the limit is based on "the total weight of the package or packages concerned", unless the damage affects the value of other packages on the same air waybill (Art. 22(4)).
- Declared value. A special declaration of interest in delivery, with any supplementary sum paid, replaces the limit (Art. 22(3)). See declared value vs limits.
- Deadlines. Written complaint within 14 days of receipt for damage and 21 days for delay (Art. 31(2)); action within 2 years (Art. 35).
- No contracting out below the limit. Any clause fixing a lower limit is null and void (Art. 26).
What the increase means in practice
Going from 22 to 26 SDR/kg is an 18 per cent rise in the limit. For a 200 kg air shipment, the limit is now 5,200 SDR instead of 4,400 SDR, about US$7,050 instead of US$5,970 at today's rate. That still falls far short for high-value, low-weight goods: electronics, pharmaceuticals, luxury goods, spare parts. A 50 kg box of smartphones worth US$100,000 still has a limit of only 1,300 SDR (about US$1,760).
So the increase helps with ordinary cargo but does not change the basic advice for valuable consignments: declare value on the air waybill or, usually more economically, insure. See our worked example for a full before-and-after calculation.
When is the next review?
Reviews are at five-year intervals, so the next is expected around 2029, with any increase taking effect only if the inflation factor exceeds 10 per cent. We will update the calculator if limits change.