Air freight rates increase

Global air freight rates have been dramatically up this peak season, according to Freightos. In Europe, intermittent bad weather has lead to backlogs and contributed to higher rates.

According to the online freight marketplace, a standard Asia-Europe shipment on the spot market with flexible transit arrangements normally goes for around $2-5/kg. In recent weeks, the new norm has become $7-10/kg.

Europe-US shipment rates have also increased. Shipments to JFK normally cost between $0.80 and $1.30/kg, but recently they’ve been in the $5-10/kg band.

“Of course, urgent shipments are going for a lot higher,” said Manel Galindo, CEO of Freightos WebCargo. “Last week, we saw Hong Kong to Europe going for $21/kg, and Europe to South America at $26/kg.

“China-Europe rates will stay high. Even where there is some flexibility, rates will stay in the $7-10/kg band for several more weeks yet.

“The current backlog probably won’t fully clear before the lead up to the Chinese New Year closedown starts.”