AviTrader sponsorship ad

Air cargo tonnages and rates from key Middle East and Asian markets remain elevated

AirCargo trends published by © WorldACD
AirCargo trends published by © WorldACD

Air tonnages and rates from key Middle East and Asian origin markets remain highly elevated, especially to Europe, as strong demand and disruptions to ocean freight services meet limited capacity on key lanes, pushing up rates dramatically on several major intercontinental routes.  

According to the latest weekly figures and analysis from WorldACD Market Data, worldwide tonnages have rebounded by a further 2% in week 20 following a similar increase the previous week, after dropping by around 8% at the start of May around the Labour Day holidays. 

Meanwhile, average global rates remain more or less stable, rising just two cents to US$2.48 per kilo in week 20 (13 to 19 May) – which is up, year-on-year (YoY), by around 2% and significantly above pre-COVID levels (40% compared to May 2019). Tonnages, YoY, are up by 9% globally, although that figure is inflated by strong demand from Asia Pacific (15%) and Middle East & South Asia (16%) origins.  

On a week-on-week (WoW), and two-week-on-two-week (2Wo2W) basis, average global and regional rates are relatively stable. But compared with last year, average rates from Middle East & South Asia () are highly elevated (45%). And to destinations in Europe, average rates from MESA origins remain more than double (119%) their level this time last year, as they have for the last seven weeks, based on the more than 450,000 weekly transactions covered by WorldACD's data. 

New analysis this week by WorldACD indicates that tonnages from MESA to Europe in the last two weeks are up, YoY, by 31%, with the top of the list in terms of origin growth points (148%). Those Dubai tonnages to Europe continue to be inflated by strong sea-air cargo due to the disruptions to container shipping in the Red Sea. But tonnages from Sri Lanka (57%) and Bangladesh (28%) are also significantly up, YoY, for the last two weeks combined.

The impact on pricing is even more dramatic, especially from key South Asia origin markets. Average rates from Bangladesh to Europe in week 20 stand at US$4.66 per kilo, almost three times their level this time last year (186%). Although tonnages from Bangladesh to Europe have eased slightly from their peak in week 14, those Bangladesh to Europe prices in week 20 are the second-highest this year. From India to Europe, rates have eased slightly in the last two weeks, but at US$3.72 per kilo they are still up 163% compared with the equivalent week last year.

As already highlighted, tonnages from Asia Pacific origins are up, YoY, by 15% as a whole, with rates up by 10%. Looking at Asia Pacific to Europe there are some considerable variations between the various main origin markets. For example, tonnages from China and to Europe have been up, YoY, by between 23% and 47% from weeks 14 to 18. That has eased somewhat in the last two weeks from China to Europe, where tonnages are up by just 19% and 10% in weeks 19 and 20, respectively, although Hong Kong to Europe tonnages remained up by 31%, YoY, in weeks 19 and 20.

On the pricing side, average rates from mainland China to Europe in the last four weeks have been up, YoY, by between 22% and 31, although from Hong Kong to Europe, the rates increases have been more modest, ranging from 3% to 23% in recent weeks. But from to Europe, the market has seen some extremely high price levels for this time of year, with average rates of more than US$4 per kilo for the last four weeks and for most of the last eight weeks, which means prices are around double their rate this time last year (120% in weeks 19 and 20).

New analysis this week by WorldACD reveals that, of the world's Top 20 air cargo origin markets, by total tonnages, Vietnam (13%) also recorded the second biggest 2Wo2W tonnage increase (in percentage terms) in weeks 19 and 20, combined, compared with weeks 17 and 18, second only to Italy (16%). Colombia recorded the biggest 2Wo2W decrease (42%), as a result of its big flower export volumes returning to normal levels following the surge ahead of Mother's Day on 12 May. Similarly, the USA Atlantic South market saw the biggest 2Wo2W decrease of any Top 20 destination market, also linked to Mother's Day flower shipment volumes returning to normal levels.  

Japan (16%) saw the biggest 2Wo2W increase in tonnages of any Top 20 destination market, as its trade volumes returned to normal levels following the nation's Golden Week holiday from 29 April to 5 May. For the similar reasons, it also recorded the (equal) second biggest 2Wo2W (in percentage terms) tonnage increase (13%) among the world's Top 20 air cargo origin markets, although in absolute tonnage terms the increase was higher than that for both Italy and Vietnam.

Share this Article
Friday June 21, 2024
Honeywell has agreed to acquire CAES Systems Holdings for approximately US$1.9 billion in an all-cash transaction © Honeywell
Honeywell has agreed to acquire CAES Systems Holdings LLC (CAES) from private equity firm Advent International for approximately US$1.9 billion in an all-cash transaction. This represents approximately 14-times the estimated 2024 EBITDA on a tax-adjusted basis... Read More »
Friday June 21, 2024
SITA has taken a significant step into the operations as a service market by acquiring ASISTIM, a company renowned for its airline flight operations services. This move highlights SITA's ongoing pursuit of innovative solutions to help airlines tackle challenge... Read More »
Friday June 21, 2024
Chris Celtruda
Chromalloy Corporation (Chromalloy), an independent provider of critical, high-value components for aircraft engines and gas turbines, has appointed Chris Celtruda as President and Chief Executive Officer (CEO), succeeding Brian Costa, who has elected to retir... Read More »
Friday June 21, 2024
AerFin's new headquarter at St. Modwen Park, Newport © AerFin
AerFin has signed a ten-year lease agreement with St. Modwen Logistics, one of the UK's leading logistics developers and managers, for a new 115,000 ft² facility at St. Modwen Park, Newport, which will serve as the company's global headquarters from the end o... Read More »
Friday June 21, 2024
Joby has received FAA authorisation to use a suite of software tools developed in-house, called ‘ElevateOS’ © Joby Aviation
Joby Aviation, developing electric air taxis for commercial passenger service, has received Federal Aviation Administration (FAA) authorisation to use a suite of software tools developed in-house, called ‘ElevateOS', designed to enable high-tempo, on-demand ... Read More »
Friday June 21, 2024
Latest views on air cargo market developments, covering each of the last five weeks up to Sunday June 16, 2024 © WorldACD
Air cargo rates are holding firm during what is traditionally a quieter period for the market, boosted by continuing strong demand and high spot rates from Asian and Middle Eastern origins, according to the latest weekly figures and analysis from WorldACD Mark... Read More »
Thursday June 20, 2024
© Shutterstock
FDH Aero (FDH), a global provider of supply chain solutions for the aerospace and defence industry, has announced the establishment of FDH Defense Aftermarket, a specialised division of FDH Aero dedicated to serving the defence industry's aftermarket needs. As... Read More »
Thursday June 20, 2024
Baseline testing of the Passport engine to characterise performance before hybrid electric components are added © GE Aerospace
GE Aerospace is developing a hybrid electric demonstrator engine with NASA that will integrate electric motor/generators into a high-bypass commercial turbofan to supplement power during different phases of operation. This involves modifying a passport engine ... Read More »
Thursday June 20, 2024
Rendering of Integrity eVTOL aircraft
CRISALION Mobility, a prominent Spanish company in the design and development of advanced electric mobility solutions, and iJet Aviation, specialists in integrated aircraft management, have signed a cooperation agreement to develop the air mobility sector in t... Read More »
Thursday June 20, 2024
Safran Electronics & Defense and Wojskowe Zakłady Elektroniczne (WZE S.A.) signing the contract © Safran
Safran Electronics & Defense and the Polish company Wojskowe Zakłady Elektroniczne (WZE S.A.) have signed a contract for the first time to supply Safran's Geonyx inertial navigation and pointing systems to the Polish Armed Forces. The total quantity is ap... Read More »
Thursday June 20, 2024
Tahiti Nui Helicopters has chosen ADSOFTWARE to support its aerial operations in French Polynesia ©Tahiti Nui Helicopters
Tahiti Nui Helicopters has chosen ADSOFTWARE as a trusted partner to support its aerial operations in French Polynesia. By providing specialised software solutions to CAMO and logistics teams, ADSOFTWARE enables Tahiti Nui Helicopters' fleet to benefit from a ... Read More »
Thursday June 20, 2024
Condor and flydubai have signed an interline agreement © Airbus
After having signed a reciprocal codeshare partnership with Emirates recently, which will commence in October 2024, Condor and Dubai-based carrier flydubai have signed a reciprocal interline agreement at the IATA Annual General Meeting in Dubai (UAE). Condor p... Read More »
Wednesday June 19, 2024
Anna Wijkander will start her new position of CFO for Saab on September 9, 2024 © Saab
Anna Wijkander, currently Deputy CFO and Head of Corporate Control at Saab, will become the company's new CFO and a new member of Saab's Group Management. This follows Saab's announcement on April 4, 2024, that the current CFO and Deputy CEO, Christian Luiga, ... Read More »
Wednesday June 19, 2024
Image of Croatia Airlines' Airbus A220 aircraft © Airbus
TP Aerospace will be providing MRO services to support Croatia Airlines' requirements for the A220 wheels. The service will primarily be delivered from TP Aerospace's new flagship facility in Brno, Czech Republic. “Croatia Airlines is happy to announce the w... Read More »
Wednesday June 19, 2024
The LOI between airBaltic Training and Diamond Aircraft was signed during the Baltic International Airshow in Liepaja, Latvia © airBaltic Training
airBaltic Training, a subsidiary of the Latvian airline airBaltic, has signed a letter of intent (LOI) with Diamond Aircraft for the acquisition of three all-electric eDA40 and two DA42-VI aircraft. Consequently, the airBaltic Pilot Academy's fleet will grow t... Read More »
Wednesday June 19, 2024
The WestJet Group will add two additional 737 MAX 8 aircraft to its fleet © WestJet
The WestJet Group has announced the acquisition of two additional Boeing 737 MAX 8 aircraft, sourced from Aviation Capital Group and High Ridge Aviation, to be integrated into the airline's operations in 2024. This follows an earlier announcement this month of... Read More »
Wednesday June 19, 2024
Caerdav will open a third maintenance line at its St Athan base © Caerdav
Caerdav is set to open a third maintenance line at its St Athan base, alongside making substantial investments to enhance its in-house capabilities. Following extensive remodelling of one of the company's two hangars to accommodate an additional Boeing 737 or ... Read More »
Wednesday June 19, 2024
Safran has launched the Skyjacker counter-drone system © Safran
At Eurosatory 2024, Safran Electronics & Defense announced the launch of its Skyjacker counter-drone solution. Skyjacker effectively addresses the growing threat posed by drones in battlespaces and at sensitive installations. Its strength lies in its uniqu... Read More »
Wednesday June 19, 2024
Shutterstock
Avolon, a prominent global aviation finance company, has announced the successful raising of US$750 million through a new unsecured credit facility involving a syndicate of seven banks, predominantly from the Middle East and India. This transaction enhances Av... Read More »
Tuesday June 18, 2024
Penny Burtt
Boeing has named Penny Burtt as the new President of the company's Southeast Asia business, effective July 3rd. Based in Singapore, Burtt will oversee Boeing's strategy and operations as the company expands its regional presence. She will also serve as Directo... Read More »
AviTrader MRO magazine Mai 2024 edition

2023 MEDIA KIT

Aviation Media Pack

Subscribe to the most widely accepted news source in the aviation industry!


Free Daily, Weekly and MRO Publications delivered to your Inbox!
News Alerts, Editorials, Marketplace, Executive Interviews +more

Select publications:

*we respect your privacy and AviTrader will not share your email address to any 3rd Parties.

Scroll to Top
AviTrader Publications Corp.

FREE
VIEW