Air freight rates enjoyed a further week of solid gains on most major routes, according to the latest data from TAC Index.
The global Baltic Air Freight Index calculated by TAC rose +4.1 percent in the week to November 4, taking its gain over 12 months to +10.9 percent. “Sources said the rise was led again by higher spot rates, which they suggest have jumped 10 percent or more in the past month, particularly on busy lanes out of Asia – especially TransPacific routes – though now less likely to reach such a massive peak season high than had seemed possible earlier in the year.”
Average rates were higher again from China both to Europe and to the U.S., the update added. Outbound Shanghai jumped +5.8 percent WoW, helping lift its rise to +22.4 percent YoY. “The index of outbound routes from Hong Kong gained a further three percent WoW, with rising rates on nearly all major lanes taking its gain to +10.2 percent YoY. There were also further gains on rates out of Vietnam both to Europe and to the U.S., as well as from Seoul to Europe. From India, there were further gains WoW on routes to the U.S. but not to Europe – where there have already been huge gains YoY.”
Out of Europe, rates were markedly stronger on most lanes, including to China and to Japan as well as to the U.S. The index of outbound routes from London Heathrow added to recent gains with a further increase of +8.3 percent WoW, helping lift the YoY increase to +17.4 percent. “After a very weak recent spell, outbound Frankfurt surged +8.7 percent WoW with gains on nearly all major lanes helping cut its YoY decline to only -3.2 percent.”
From the Americas, the index of outbound routes from Chicago bucked the rising global trend with a drop of -6.4 percent WoW, leaving its YoY decline at -15.1 percent. Overall rates from the U.S. were a little lower both to Europe and to China, though slightly up again to South America – adding further to a healthy YoY gain on those lanes, the update added.
