Airfreight rides e-commerce to surprise growth in May

Conventional thinking suggests the unexpected strength of the air cargo market so far this year is ready to cool off for the summer, as freight activity normally does each year. It’s not happening — yet.

Global airfreight volumes didn’t subside after China’s Lunar New Year holiday in February, as many industry professionals anticipated, and are still going strong, albeit with ebbs and flows. The primary catalysts remain Asian exporters shifting modes because of slower ocean transits around the...

https://www.freightwaves.com/news/airfreight-rides-e-commerce-to-surprise-growth-in-may

Air cargo market rides an incoming wave, but can it last?

The air cargo market has started the year on an apparent tear thanks to strong e-commerce volumes out of Asia and extended transits for ocean freight being rerouted around the Red Sea conflict zone, but whether the growth is sustainable or a product of low comparisons to last year remains an open question.

Last summer the industry was drifting at the bottom of a trough, but a swell of business in September turned into a wave that has carried into the first quarter. 

Shipping demand on airliners...

https://www.freightwaves.com/news/air-cargo-market-rides-an-incoming-wave-but-can-it-last

Wait for airfreight recovery could extend deep into 2024

Air logistics companies are grudgingly writing off the traditional peak season as weak macroeconomic conditions drag out the freight downturn longer than expected. Low rates will carry over into next year, even if demand eventually picks up, because many businesses are negotiating contracts to lock in low prices instead of shopping for one-time quotes when ready to ship, analysts say.

Airfreight remains mired at the bottom of a 16-month downturn and, by some measures, is worsening on the cusp of...

https://www.freightwaves.com/news/wait-for-airfreight-recovery-could-extend-deep-into-2024

Price war keeps air cargo rates below natural level

Amid a burgeoning price war, pessimism is growing in air cargo circles that a market in prolonged recession could drift further downward, after a short pause, reducing the chance of a modest recovery during the traditional preholiday shipping rush.

Logistics professionals had hoped for an upturn by now that would steadily build into the second half, but that hasn’t happened. Freight forwarders and, increasingly, cargo airlines have responded by chasing volumes without regard to cost, which...

https://www.freightwaves.com/news/price-war-keeps-air-cargo-rates-below-natural-level

Optimism fades for airfreight recovery on slow-healing inventories

Since late last year, air logistics executives have engaged in wishful thinking that the protracted downturn in shipping demand would start to recover after the first quarter and build through the year once retailers cleared out excess inventories. That rosy scenario is fading.

Worsening indicators suggest the international freight recession hasn’t hit bottom and that the best outcome air cargo providers can hope for until October — typically the peak season for goods movement — is halting the...

https://www.freightwaves.com/news/optimism-fades-for-airfreight-recovery-on-slow-healing-inventories

Cargojet postpones more 777 freighters, tightens belt as shipments slow

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Cargojet, which operates an extensive middle-mile air cargo network in Canada for express delivery...

https://www.freightwaves.com/news/cargojet-postpones-more-777-freighters-tightens-belt-as-shipments-slow

Air cargo market may not improve even if economy does

The only way to characterize the air cargo market in March is it’s a little less worse than the past few months.

Slight recovery of factory output in China after the Lunar New Year holiday, a rise in manufacturing exports elsewhere and incremental improvement in inflation are helping global demand and rates achieve some sense of seasonal stability after a yearlong slump.

But the outlook remains murky, with green shoots pointing to a second-half recovery against a backdrop of difficult economic...

https://www.freightwaves.com/news/air-cargo-market-may-not-improve-even-if-economy-does

Airfreight industry watches for signs of midyear recovery

Air cargo ended 2022 on a weak streak that is expected to continue well into the first half of the year, with logistics companies hanging hopes for better demand on retail inventory clearance bottoming out by summer. 

Uncertainty is the watchword for 2023. Any progress in freight transport could be undone by a recession predicted by most economists or more unexpected geopolitical events.

Overall shipment volumes were down 8% in December versus the same period the prior year. More importantly,...

https://www.freightwaves.com/news/airfreight-industry-watches-for-signs-of-midyear-recovery

Air cargo shippers seek short-term pricing amid economic uncertainty

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Logistics companies are responding to continued weakness in airfreight demand by shifting away from...

https://www.freightwaves.com/news/air-cargo-shippers-seek-short-term-pricing-amid-economic-uncertainty

China Southern to list air cargo capacity on Freightos market

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China Southern Airlines, the largest cargo airline in China and 10th largest in the world by volume,...

https://www.freightwaves.com/news/china-southern-to-list-air-cargo-capacity-on-freightos-market

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