CARGO charter flights out of china have been cancelled as a result of a rapid decline in e-commerce demand to the US, according to freight forwarder Dimerco.
In the forwarder's monthly market report, Dimerco reported that from the end of April, several freighter charters have been cancelled, while further cancellations are expected in the coming weeks.
Dimerco said the cancellations were the result of the US implementation of tariffs of up to 145 per cent on many imports from China and the impending end of the de minimis exemption for the country that has allowed Chinese e-commerce platforms to import millions of packages per day without paying duty and with minimal customs scrutiny.
The de minimis exemption on goods from China and Hong Kong was due to end on May 2. Meanwhile, the US has put in place tariff exemptions for smartphones and other tech products imported from China, products typically carried by airfreight.
'Overall, e-commerce shipment volume has dropped by approximately 50 per cent since mid-April compared to the same period last year.'
The company said major Chinese carriers were also considering cancelling services, although a final decision is still pending.
'If these cancellations go through, the already limited capacity from China to the US will be further reduced,' Dimerco said.
Data monitor WorldACD said that air cargo volumes from China and Hong Kong to the US have fallen for four weeks on the bounce, in the week ending April 20 (week 16) dropping by 7 per cent compared with a week earlier.
Meanwhile, the data firm added that demand from Southeast Asia to the US was on the up, according to London's Air Cargo News.
SeaNews Turkey
In the forwarder's monthly market report, Dimerco reported that from the end of April, several freighter charters have been cancelled, while further cancellations are expected in the coming weeks.
Dimerco said the cancellations were the result of the US implementation of tariffs of up to 145 per cent on many imports from China and the impending end of the de minimis exemption for the country that has allowed Chinese e-commerce platforms to import millions of packages per day without paying duty and with minimal customs scrutiny.
The de minimis exemption on goods from China and Hong Kong was due to end on May 2. Meanwhile, the US has put in place tariff exemptions for smartphones and other tech products imported from China, products typically carried by airfreight.
'Overall, e-commerce shipment volume has dropped by approximately 50 per cent since mid-April compared to the same period last year.'
The company said major Chinese carriers were also considering cancelling services, although a final decision is still pending.
'If these cancellations go through, the already limited capacity from China to the US will be further reduced,' Dimerco said.
Data monitor WorldACD said that air cargo volumes from China and Hong Kong to the US have fallen for four weeks on the bounce, in the week ending April 20 (week 16) dropping by 7 per cent compared with a week earlier.
Meanwhile, the data firm added that demand from Southeast Asia to the US was on the up, according to London's Air Cargo News.
SeaNews Turkey
