Newsletter – October 4, 2023
AIR FREIGHT UPDATES
Air Cargo Demand up 1.5% in August, First Annual Growth Since February 2022
Geneva – The International Air Transport Association (IATA) released data for August 2023 global air cargo markets, showing that year-on-year air cargo demand grew for the first time in 19 months.
Global demand, measured in cargo tonne-kilometers (CTKs*), increased by 1.5% compared to August 2022 levels (2% for international operations). Read more here
Maersk opens Los Angeles air cargo gateway
Maersk has inaugurated a new 130,000 sq ft airfreight import/export gateway near Los Angeles International Airport (LAX) as part of its North American airfreight capacity expansion programme.
Maersk, which launched Maersk Air Cargo in April last year, said the LAX gateway allows for “more supply chain integration opportunities” and “better scaling to care for seasonal peaks”, as well as “market-driven volume spikes” for new product launches. Read more here
Airfreight rates continue to rise in September
Airfreight rates finally showed signs of improvement in September (see dashboard at end of article) and further increases have been recorded in the first week of October.
The latest figures from the Baltic Exchange Airfreight Index (BAI) show that average rates – spot and contract – paid by forwarders from Hong Kong to Europe and North America increased last month for the second month in a row. Read more here (login required).
Airfreight peak season fails to deliver, as consumers tighten purse strings
The looming peak season for airfreight, which should roar to life after the hiatus of the Golden Week holiday in China, looks set to limp along, more or less at the pace of recent months.
Forwarders report no significant rise in activity among cargo owners and no sign of a volume surge, let alone capacity challenges or peak season surcharges. Read more here (login required).
OCEAN FREIGHT UPDATES
FMC throws out ‘unjustified’ congestion charge complaint against MSC
The US Federal Maritime Commission has dismissed the latest case against the world’s largest container line, MSC – a decision that could set a benchmark for other shippers.
The case was brought by SOFi Paper Products, which received a congestion surcharge of $1,000, but claimed MSC could not justify it. Read more here (login required).
Mexican logistics infrastructure struggles as delays hit Lazaro Cardenas
On Friday, Hapag-Lloyd issued a customer advisory warning of delays at the port of Lazaro Cardenas – cargo moving to and from the port hit by congestion at the Hapag-Lloyd and APM terminals.
The news was hardly a bolt out of the blue. Mexico’s largest Pacific port has suffered from congestion for more than three months, partly the result of a surge in car shipments, but problems with the rail system have also affected box traffic. Read more here (login required).