Worldwide air cargo volumes have dropped further in the last two weeks despite the continued gradual recovery of capacity, the latest figures from WorldACD Market Data show, as consumer confidence and spending, fade in several major international markets.
In week 27 (July 4 - 10), worldwide chargeable weight decreased by 6% compared with the week before, and the average worldwide rate decreased slightly, based on the more than 350,000 weekly transactions covered by WorldACD's data and analysis of the main international air cargo lanes.
In its latest release, the air cargo data provider reported that comparing the last two weeks with the preceding two weeks (2Wo2W), average worldwide rates remained stable, while chargeable weight fell 5% and overall capacity increased 1% compared with the preceding two weeks.
WorldACD said chargeable weight from North America to Europe and the Asia Pacific went down particularly strongly in the last two weeks by 16% and 12%, respectively, a period that included the Independence Day national holiday in the US.
Compared with last year, the last two weeks showed a worldwide rate increase of 17%, despite a weight decline of 8% and a capacity increase of 15%, it added.
"On the biggest head-haul trades from East Asia, the Asia Pacific to Europe average rates and chargeable weight both decreased 1% in the last two weeks compared with the preceding two weeks," the report said, adding that rates from the Asia Pacific to North America fell 3% at slightly lower volumes 1%.
It said that a longer-term view of the key Asia Pacific outbound market shows that volumes for the two weeks to July 10 were down by 14%, YoY, and capacity was 8% below last year's levels, although average rates on Asia Pacific outbound markets remain stubbornly high or up 25% up compared with this time last year.
"Those rates figures are based on a mix of spot and contract rates and include charges, including the currently much-elevated fuel surcharges," WorldACD said.
On the demand side, one of the biggest two-week changes in volumes was an 8% decrease in intra-Asia Pacific volumes, compared with the previous two weeks, while average rates were only slightly down or by 1%.
The report also said that Europe to Africa volumes also saw an 8% decline, comparing the last two weeks with the preceding two weeks, at a 6% rise in average rates.
Meanwhile, chargeable weight from Central & South America to North America showed 9% growth, for the same period, after falling by 5% in the previous two-week analysis period.
