THE surge in air cargo volume that marked the end of 2023 has extended into what is typically a quieter shipping period, reports New York's Freight Waves.
This unexpected trend is attributed to several factors, including retailers replenishing inventories, an earlier-than-usual Chinese New Year, heightened demand for flowers leading up to Valentine's Day, and longer ocean transit times as vessels avoid the Red Sea route due to rebel activity.
In January, air cargo demand experienced growth of over ten per cent compared to the previous year, despite the usual slowdown in shipment activity following the year-end holiday rush.
Reports from researchers Xeneta and WorldACD indicate that during the first week of February, both tonnage and rates continued to increase gradually, although the extent of demand growth varies across different regions, influencing the global average positively.
It's worth noting that the growth witnessed in January benefited from a low base in 2023, compounded by the fact that the Chinese New Year fell earlier this year, commencing on February 10th.
Chinese exporters tend to accelerate shipments before the holiday shutdown, resulting in a significant slowdown in airfreight movement from China for about ten days in January 2023.
This positive trend builds on the momentum observed since early September, culminating in a substantial year-over-year volume increase of ten per cent - the largest surge in two years.
The International Air Transport Association (IATA) reported a 1.9 per cent decline in airfreight traffic for the full year, an improvement from the earlier estimate of a 3.8 per cent decrease.
This improvement was largely driven by the market's resurgence after nearly 18 months of decline and stagnation.
Forecasts for airfreight growth in 2024 range from two to five per cent, but the ongoing influx of passenger widebody capacity, particularly in the Asia-Pacific region, as airlines adjust post-Covid crisis, is expected to exert pressure on load factors and rates.
According to Xeneta, the amount of space filled on airliners decreased by three points in January, reaching 56 per cent.
The latest report from IATA indicates that global cargo capacity was 11.3 per cent higher at the end of 2023 than the previous year.
While passenger belly space experienced a significant increase of 36 per cent for the full year, capacity from all-cargo aircraft saw a marginal decline.
SeaNews Turkey
This unexpected trend is attributed to several factors, including retailers replenishing inventories, an earlier-than-usual Chinese New Year, heightened demand for flowers leading up to Valentine's Day, and longer ocean transit times as vessels avoid the Red Sea route due to rebel activity.
In January, air cargo demand experienced growth of over ten per cent compared to the previous year, despite the usual slowdown in shipment activity following the year-end holiday rush.
Reports from researchers Xeneta and WorldACD indicate that during the first week of February, both tonnage and rates continued to increase gradually, although the extent of demand growth varies across different regions, influencing the global average positively.
It's worth noting that the growth witnessed in January benefited from a low base in 2023, compounded by the fact that the Chinese New Year fell earlier this year, commencing on February 10th.
Chinese exporters tend to accelerate shipments before the holiday shutdown, resulting in a significant slowdown in airfreight movement from China for about ten days in January 2023.
This positive trend builds on the momentum observed since early September, culminating in a substantial year-over-year volume increase of ten per cent - the largest surge in two years.
The International Air Transport Association (IATA) reported a 1.9 per cent decline in airfreight traffic for the full year, an improvement from the earlier estimate of a 3.8 per cent decrease.
This improvement was largely driven by the market's resurgence after nearly 18 months of decline and stagnation.
Forecasts for airfreight growth in 2024 range from two to five per cent, but the ongoing influx of passenger widebody capacity, particularly in the Asia-Pacific region, as airlines adjust post-Covid crisis, is expected to exert pressure on load factors and rates.
According to Xeneta, the amount of space filled on airliners decreased by three points in January, reaching 56 per cent.
The latest report from IATA indicates that global cargo capacity was 11.3 per cent higher at the end of 2023 than the previous year.
While passenger belly space experienced a significant increase of 36 per cent for the full year, capacity from all-cargo aircraft saw a marginal decline.
SeaNews Turkey