FIS Air Freight Report indicates continually rising prices per kilogramme
EXPORT prices kicked back into action on the last week of August, despite many seeing a lull in actual moved volumes until mid September, according to the FIS Air Freight Report
EXPORT prices kicked back into action on the last week of August, despite many seeing a lull in actual moved volumes until mid September, according to the FIS Air Freight Report.
Prices remained consistent with previous weeks and forward curves, September 2020 corrects downward five cents along China to Europe, and upwards seven cents from China to the US.
Spreads widened dramatically on the China-US route, considering high offers of US$7.50/kg for November 2020, said the FIS Air Freight Report.
The same is seen from China to US, with a desired low of $4.00/kg clashing to offers topping out at the $6.80/kg level for November 2020.
Quite a bit of capacity is already booked out, leaving little in terms of free capacity for Q4 while many double-down on cold-chain infrastructure and pharma solutions in prepation for COVID-19 vaccine shipments.
The near term market perks up price movements, with a few notable exceptions and a continual erosion of east-bound transatlantic rates. Most counter parties still give us a sense that the market will be slack until mid-September.
There is much action, but more talk about preparation for the as-of-yet elusive Covid-19 vaccine cargoes, with a number of carriers and forwarders putting emphasis on bolstering cold-chain and pharmaceutical infrastructure.
'From our perspective, the feedback has been that airlines are largely booked out (or at least booked out for everything they don't want on free sale) for Q4,' said the report.