News
- Air Freight Rates From Asia Staying High
- 3/2/2010
Air Freight Rates From Asia Staying High
“IFW” reports that forwarders are expecting air freight rates from Asia to remain relatively high in the coming months, with some believing capacity will remain tight for the rest of the year. Rates from Asia to the US east coast peaked at around US$5/kg in the weeks leading up to Chinese new year, with slightly lower rates to the US west coast and between $3 and $4 to Europe, as shippers rushed to get cargo out of China before the country’s factories closed for the holiday. Rates to the US were expected to drop to around US$3/kg for the next few weeks, but then move upwards in the second week of March. Another Asia-based forwarder agreed that rates were likely to remain firm for the coming months - after a slack period over the next two weeks with airlines controlling capacity in order to balance demand and supply, in turn, to keep yields relatively high.