The spot rate also rose from other regions in the world. For example, air freight exports from Europe accounted for a price increase of 14% to USD 2.50 per kilo and a kilo of air freight ex-North America, the other major global air freight market, cost USD 1.83 (+5%). The upward pressure on air freight rates will remain high in the current fourth quarter, the consultant says based on data from the first week of November. An important factor causing this is online purchasing in China.

No price explosions

This was also to be expected since the last quarter of this year includes Black Friday and Christmas. Other air freight analysts have previously indicated that shippers should prepare for an expensive purchasing period in the final months of the year. TAC index did point out that the price spurt and market demand in October did not take the dramatic form as previously feared.

Xeneta also warned in September of significant price increases in the last quarter of this year. That did come with a caveat: For example, the Norwegian analyst pointed out that the market has recovered from the wild years during the corona crisis and airlines and forwarders can keep rates at a 'reasonable level'. The market is therefore protected from the price explosions of a few years ago.

Source: NT