Rates and demand continue on upward trend

Global air cargo rates and demand edged slightly further upwards in the second full week of March, with Middle East & South Asia (MESA) the only major origin region registering a drop in tonnages, according to the latest weekly figures from WorldACD Market Data.

Worldwide tonnages in week 11 (10 to 16 March) gained a further +1%, compared with the previous week, taking them +3% higher, year on year (YoY). The small global week-on-week (WoW) gain was driven by increases from Central & South America (+4%) and Asia Pacific (+3%), as Asia Pacific markets continue to bounce back from Lunar New Year (LNY). But there was a -4% WoW drop in flown tonnages from MESA origins, partly linked to business closures during the Hindu spring festival Holi in India (13-14 March). Averaged across the last two weeks, flown tonnages from MESA origins in weeks 10 and 11 were comparable with their levels in weeks with 8 and 9, combined, with a drop to Europe (-3%), but an increase to Asia Pacific (+9%).

Asia Pacific rebound

Using that two-week on two-week (2Wo2W) comparison method, tonnages from Asia Pacific have rebounded strongly in weeks 10 and 11 from their post-LNY lull to Europe (+13%) and to North America (+10%), based on the more than 500,000 weekly transactions covered by WorldACD’s data. On a WoW basis, tonnages from Asia Pacific to Europe gained a further +7% in week 11, their fifth successive WoW gain, taking volumes to their highest level this year and only around -10% below their levels in mid-December. There were significant WoW increases to Europe from most of the big Asia Pacific markets, including China (+7%), Hong Kong (+5%), Japan (+5%), South Korea (+18%), Taiwan (+13%) and Vietnam (+9%).

Tonnages from Asia Pacific to the USA in week 11 also recorded