Worldwide air cargo markets show a flat trend looking at the latest demand and pricing levels, slightly above those this time last year, according to the most recent weekly figures from WorldACD Market Data, amid a fast-evolving geopolitical and trade environment.
Based on the more than 500,000 weekly transactions covered by WorldACD’s data, total worldwide tonnages in week 10 (3 to 9 March) were stable, compared with the previous week, and +2% higher year on year (YoY). Chargeable weight flown from Asia Pacific origins regained a further +5%, week on week (WoW), taking them back up close to their levels in mid-January, just before the peaks and troughs of the Lunar New Year (LNY) period. Those increases in tonnages from Asia Pacific origins were balanced out by falls in volumes from Central & South America (-9%, WoW), Europe (-3%), North America (-2%), Middle East & South Asia (MESA, -1%), and Africa (-1%).
Averaged across two weeks, combined tonnages for weeks 9 and 10 were up by around +4%, YoY, led by gains of +8% from Asia Pacific origins – although that is partially due to the different timings of LNY, which fell on 29 January this year compared with 10 February last year. Average worldwide rates, based on a mix of spot prices and contract rates, were +5% higher, YoY, in weeks 9 and 10, after edging upwards in week 10 by +1% to $2.33 per kilo.
Average worldwide spot rates in week 10 of US$2.55 per kilo were also stable, WoW, despite a -1% drop from Asia Pacific origins. But compared with week 10 last year, they are +8% higher, with Asia Pacific spot prices up +11%, YoY.
Examining Asia Pacific more closely reveals that average spot rates from China and Hong Kong, combined, to the USA remained stable, WoW, at $3.78 per kilo, as tonnages continued to build back in week 10 close to their level in mid to late January. Meanwhile, tonnages from Asia Pacific origins to Europe recorded a further +4% WoW rebound in week 10, thanks to significant increases from most of the region’s main markets, including China (+5%), Hong Kong (+6%), Japan (+7%), Taiwan (+7%), Vietnam (+3%), Thailand (+9%), and Singapore (+9%). Tonnages dropped sharply from South Korea (-11%) in week 10, consistent with reductions in freighter capacity from South Korea that week.
However, average spot prices from Asia Pacific to Europe in week 10 edged further downwards, WoW, to $3.91 per kilo (-3%), thanks to declines from China (-5%) Hong Kong (-2%), and Vietnam (-7%). But year on year, average spot rates from Asia Pacific to Europe remain significantly higher (+20%), thanks to increases from China (+14%), Hong Kong (+22%), Japan (+19%) and Thailand (+38%).
Elsewhere, average spot prices from MESA to Europe held steady in week 10 at $2.42 per kilo, despite a -4% WoW drop in overall demand that may in part be linked to the start of Ramadan on 28 February. Tonnages from Dubai to Europe dropped by -15%, WoW, after declining -17% the previous week, leading to a -12% fall in spot prices in week 10 to $1.88 per kilo.
For Editorial Inquiries Contact:
Editor Matt Driskill at matt.driskill@asianaviation.com
For Advertising Inquiries Contact:
Head of Sales Kay Rolland at kay.rolland@asianaviation.com
