THE global Baltic Air Freight Index (BAI00), calculated by TAC, dipped by one per cent in the week, leaving it 5
THE global Baltic Air Freight Index (BAI00), calculated by TAC, dipped by one per cent in the week, leaving it 5.1 per cent lower year on year, reports London area Air Cargo Week. The figures suggest there has been no immediate rebound in rates following the agreement between the United States and China to reduce their ultra-high mutual tariff levels-at least for the next 90 days.
Out of China, rates rose slightly overall to Europe but declined on routes to the US, with the end of the de minimis exemption for small packages starting to impact volumes as expected.
The index of outbound routes from Hong Kong (BAI30) edged up by 0.1 per cent week to week, though it remains down 3.3 per cent year on year. This slight rise was partly driven by a recent jump in spot rates to Europe.
In contrast, outbound Shanghai (BAI80) dropped by 3.5 per cent week on week, pushing it 14.2 per cent lower year on year. Rates to Europe also increased week to week from Bangkok and Seoul, while Vietnam saw rates decline to Europe but rise to the US. Out of India, rates were slightly lower in both directions.
In Europe, there was a decline in rates on transatlantic lanes to the US as well as to China, but a rise in rates to Japan. The index of outbound routes from Frankfurt (BAI20) edged up by 0.7 percent week on week, leaving it 2.6 percent higher year on year.
By contrast, outbound London Heathrow (BAI40) slipped by 0.7 per cent week on week, falling to 6.7 per cent below the level seen this time last year.
From North America, rates declined on lanes to both Europe and China, but rose again to South America. The index of outbound routes from Chicago (BAI50) gained 1.8 per cent week to week, pushing it up by 23.2 per cent year on year.
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