Air freight demand to pick up from mid-June: Dimerco

Overall air cargo capacity has decreased at the end of April and early May compared to the same period last year due to freighter cancellations. "As a result, air freight rates between China and the U.S. are expected to gradually rise," according to the latest update from Dimerco.

Intra-Asia traffic remains strong, particularly from China to Vietnam, Singapore, Thailand, Malaysia and Taiwan, the update added. "Notably, Chinese carriers such as China Southern (CZ), Air China (CA) and China Eastern (MU) have introduced an air-air solution — offering freighter services from Hanoi (HAN) to China and then connecting onward to the U.S. This service is expected to ease pressure on Vietnam–U.S. outbound capacity during the upcoming peak season."

Kathy Liu, VP, Global Sales and Marketing, Dimerco Express Group says: "Since May 12, we have observed an increase in orders from U.S. customers. However, most shipments are currently being booked via ocean freight. We anticipate that air freight demand will begin to pick up from mid-June."

Regional market highlights
Taiwan: The artificial intelligence and high-tech industries continue to drive exports as the U.S. may increase shipping demand via Taiwan, leading to an increase in rates from week 21, the update added. "Although the shipping demand to India remains stable, the capacity to Chennai (MAA) and Mumbai (BOM) is still tight, suggesting an early booking for urgent shipments."

North China: Japan Airlines reduces flights from five to three per week on the TSN (Tianjin) – NRT (Narita) route. The rate for E.U.-bound shipments is rising due to the disrupted transit routes, the update added.

East China: The rate for U.S.-bound routes rose by almost 10 percent due to increasing demand. "China Cargo Airlines (CK) launched a new freighter service for the PVG (Shanghai) – BKK (Bangkok) route three times per week. The capacity to Taipei (TPE) remains on an upturn."

Hong Kong: Capacity to Asia reduces as aircraft downgrades in the off-peak season, the update added. "Capacity to the U.S. remains stable with an increase in demand. Demand from Hong Kong to Asia, especially Taiwan, continuously increases and capacity remains tight."

Vietnam: Air freight capacity and rates from Vietnam stable with possible rate increase in June for U.S.-bound shipments due to rush before tariff pause ends.

Australia: Qatar Airways Cargo and Virgin Australia are adding 180 tonnes of weekly capacity between Qatar and Australia starting June 2025. This additional capacity may result in more competitive rates on Middle East–Australia routes, the update added.

North America/Los Angeles: Perishable season begins with cherries & peaches to Asia, and flight capacity is reduced due to ongoing tariff impacts. "Fewer freighter aircraft are servicing the U.S., resulting in decreased availability. The perishable crop season reduces capacity for dry cargo, and the summer holiday season further limits capacity on passenger flights."

Ensure all documentation is provided and settled before shipment to avoid delays and issues with U.S. Customs, the update added.

North America/Chicago: There is an increase in shipment coming from China, and export capacity may improve as Chinese carriers resume normal schedules. "Book in advance to secure space for U.S. imports, as rate increases are expected."

What to watch
Effective May 14, 2025, all covered shipments arriving via international mail from China and Hong Kong valued at $800 or below will be subject to a 54 percent ad valorem duty or a flat duty of $100 per package, the report added.

U.S. President Donald Trump has postponed the imposition of increased tariffs on European Union goods, extending the negotiation deadline to July 9. This decision follows a conversation with European Commission President Ursula von der Leyen, who emphasised the EU's commitment to reaching a swift trade agreement.