Global air cargo rates edge up on e-commerce boost

Global air freight rates edged up again in the week to June 2, according to the latest data from TAC Index.

"The global Baltic Air Freight Index calculated by TAC was up +0.4 percent, leaving it lower by only -5.4 percent from 12 months ago when the market was being driven upwards by e-commerce activity."

Rates out of China were slightly up again both to the U.S. and to Europe with a steady level of general cargo keeping rates up despite a fall in e-commerce activity, and trade with the U.S. remaining in flux due to continuing uncertainties over tariffs, the update added.

"The index of outbound routes from Hong Kong gained +0.8 percent WoW to leave it at -6.3 percent YoY. The average yield was driven up by rising spot rates although the rate of increase on spot rates was tailing off toward the end of the week. Outbound Shanghai rose +3.7 percent WoW, leaving it at -5.3 percent YoY. Rates out of Vietnam were also rising again both to Europe and the U.S. Rates from India were also rising to Europe though slightly lower overall to the U.S."

Out of Europe, the index of outbound routes from Frankfurt dipped -6.5 percent WoW to leave it at -4.7 percent YoY. Outbound London Heathrow, however, surged +5.7 percent WoW to push it into positive territory at +5.2 percent YoY, the update added.

The index of outbound routes from Chicago dropped -9.6 percent WoW to pull it back into negative territory at -7.2 percent YoY.