PRESS ROOM

The U-Freight Group, which has a strong presence in the expedited international airfreight business, notes that in the final week before the Lunar New Year (LNY) on February 10, air cargo rates from China have experienced a significant surge, as revealed by the latest data from WorldACD Market Data, reports the American Journal of Transportation.

WorldACD's recent analysis shows that in week 5 (January 29th to February 4th), air cargo rates from China to North America increased 14 per cent compared to the previous week. However, rates remain below their early December levels.

Similarly, rates from China to Europe rose eight per cent weekly, though still below the peak levels seen in early December.

The extent to which this pre-LNY demand is influenced by disruptions and delays in container shipping in the Red Sea remains uncertain.

Reports suggest some conversion of China-Europe sea freight to sea-air shipments via the Gulf and to some extent through the US west coast.

Despite this, air cargo prices from the Gulf to Europe remained relatively stable in week 5 compared to early December.

On the tonnage side, strong traffic demand from China to Europe and North America, as well as from the Gulf to Europe, continues to be observed in WorldACD data.

This contrasts with the slowdown seen at this time last year, although assessing the impact of the Red Sea disruptions on this traffic is challenging due to the significant influence of LNY.

The full extent of the Red Sea impact on air freight is likely to become apparent only after LNY, when it may be possible to determine whether there are structural changes in flows influenced by the development of the crisis and other factors.

Meanwhile, on a global scale, the recent increase in traffic originating from China has contributed to the ongoing rise in overall global air cargo demand and rates in the days leading up to LNY.

WorldACD's latest figures show that worldwide tonnage this year is significantly higher than during the same period last year.

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