Asia-Europe Air Freight Demand On The Rise

February 15, 2024

Asia-Europe Air Freight Demand On The Rise

Longer vessel transits from Asia have led some importers and exporters to switch ocean freight orders to air freight, which in turn has led to an increase in demand and a reduction in air freight capacity.

The crisis in the Red Sea has led to ocean freight carriers routing vessels around the Cape Of Good Hope and incurring longer transit times of between 10 and 14 days. While this immediately caused capacity issues for ocean freight, the knock on effect has been an increase in air freight demand too.

Air freight rates on several services from Asia have been increasing, but not as sharply as demand on most routes.

The additional volume has been causing operational issues at key Asia-Europe transhipment hubs in Dubai and Bangkok this week. Both airports had to put a halt on receiving import cargo for 48 hours due to unprecedented volumes of cargo attributed to the Red Sea crisis.

If the situation in the Red Sea continues to disrupt ocean freight we may be likely to see air freight rates spiking in the coming weeks. Unique’s airfreight team are keeping a close eye on developments.

 

Air Freight

Ocean Freight

Road Freight

Rail Freight

Customs Brokerage

Supply Chain Solutions

Specialist Services

More News