Date: Apr 03 2017
Title: Air Freight Market Update Report for Week 14


As anticipated demand for air freight space remained strong through the weekend. Air carriers capitalized on the strong demand to boost rates while requiring advance bookings and experiencing longer transit times. A number of origin gateways expect the backlog of cargo to persist through the middle of April. 

Following are highlights from around our Asian network.


Bangladesh: Demand for space remains strong. Carrier rates are up approximately 15% to 20%, spot rates are not available, and 4 to 5 days advance booking is required.  Transit times to the US are running 6 to 7 days and 4 to 6 days to European gateways. 

China:
Shanghai: Backlogs of cargo to the US and Europe are running 1 to 3 flights.  Rates have increased 5 – 8% to US gateways and 10 – 15% to European gateways. The Qingming Festival holiday will be on April 2nd – 4th.
Hong Kong: Demand for air freight space remains very strong, especially to ORD. Weekend cargo is backlogged and not expected to be uplifted until Wednesday. Air freight rates remain high and are expected to remain at this level through the middle of April.

India:
Delhi: There is a surge in demand for space which has enabled air carriers to impose higher rates or only accept cargo at Express rates. Advance booking of 3 - 4 days is required.
Mumbai: Available space is very tight to all regions including Gulf, Europe and the US. Many air carriers are reporting backlogs of cargo. Advance booking of 3 – 4 days is required.
Chennai: Demand for space remains strong and airlines are only accepting less than one ton of cargo per day.  Transit times are running an extra 6 – 8 days primarily because of delays at transit hubs.

Korea: Space situation has gotten worse this past week. Carriers have increased their space allocation to US gateways for transfer cargo, primarily because they have been able to raise rates more aggressively at the point of origin (e.g., China). Carriers have signaled another rate increase for this week. 

Sri Lanka: Demand for export space remains soft.

Taiwan: CI and BR are reporting cargo backlogs of 250 tons to US and European gateways.

Thailand: Demand for export space to US and European gateways increased this past week in advance of holiday factory closings from April 7th – 16th. Demand for space is expected to be especially strong this week. Airlines are not quoting spot rates and requiring advance booking of space.

Vietnam: Strong demand for space carried through this weekend. All carriers were fully booked through month end and faced with off-loading cargo on a daily basis. Transit times are running more than 10 days to major air freight gateways.

BACK
    Home  │  Resources  │  i-Portal  │  Terms and Conditions  │  Sitemap  │  Contact Us
Copyright © 2013 Trans Global Logistics. All Rights Reserved