Airfreight rates up on 2017 levels in February

Airfreight rates on major transpacific, Asia-Europe and translatlantic routes continued to track ahead of 2017 levels in February, despite demand slackening off.
The latest figures from TAC Index show that February airfreight rates on services from Hong Kong to North America increased by 42.5% year on year to $3.62 per kg. This increase reflects demand statistics reported by Asian airlines in the first part of the year.
However, year on year comparisons can be affected over the first couple of months can be influenced by the timing of the Chinese New Year.
Click on chart for interactive version

While prices are up on a year ago, they are down on January’s levels by 1.9%. This is to be expected as prices out of Asia tend to dip during after the Christmas period before flattening off in the summer and then increasing from September.
It was on a similar story on Hong Kong-Europe routes, where prices increased by 19.2% year on year to $2.54 per kg, but are down on January by 4.9%.
Forwarders have reported that prices on both trades picked up slightly after Chinese New Year but are expected to resume their normal seasonal pattern in March.
Manel Galindo, chief executive, Freightos WebCargo, said: “On Thursday, factories re-opened and flights resumed. For now, flights are mostly carrying pre-ordered shipments, as well as a few new express shipments.
“Express prices might go up over next week as the Chinese New Year close down backlog is cleared, but expect all prices to drop after March 5.”
Meanwhile, rate performance on transatlantic routes continued to strengthen in February as prices reached $3.06 per kg, up 15.9% year on year and 5.9% on January.
Prices on the route also strengthened between January and February last year, suggesting this is a seasonal trend.
Last year prices on the route continued to climb until April when they started dropping off as carriers added capacity to cover the tourist season.
See more air cargo data

Share this story

Related Topics

Latest airfreight rates news

Putzger perspective: Pricing smoke and mirrors

Parcel shippers were hit with peak season surcharges but carriers’ pricing gambles didn’t pay off. Digitalisation has made some headway…

Read More

Share this story

Weaker than expected peak sees lower increase in Hong Kong airfreight rates

Airfreight rates on major trades out of Hong Kong picked up in November for the peak season, although the rate…

Read More

Share this story

Transatlantic air cargo rates increase as passenger airlines reduce services

While rates out of Asia have been flatter than expected in recent weeks, prices on the transatlantic trade lane have…

Read More

Share this story

Air Cargo News

Air Cargo News
Established in 1983, Air Cargo News is the leading source of news, information, interviews, analyses and reports to the global airfreight industry. Our leading portfolio includes print, digital and events that give businesses in the airfreight industry the ability to connect with decision-makers in this sector.