A rise in trade between Asia and North American helped raise air cargo rates on East-West trade lanes in September for the second straight month, according to Drewry’s East-West Air Freight Price Index.
The average rate for a kilogram of cargo ended the month at $3.24, rising $0.10 over last month. The price has shot up since the $3.06-per-kilogram measured in June and July. Year over year, the September price rose by $0.09.
Drewry’s freight index takes the average price forwarders pay airlines for port-to-port services on 21 major routes. These averages also include fuel and security surcharges.
Drewry measured rate growth on all eastbound lanes except the route between Shanghai and Chicago, which saw a fuel-surcharge decline, lowering prices by 2.4 percent. While rates may be climbing, in its most recent data, the International Air Transport Association still said cargo demand is moving along slowly. The agency expects air carriers to generate global cargo revenues of $59 billion in 2013, taking the industry back to 2007 levels while moving more cargo and facing higher fuel costs.
In its analysis of the rates, Drewry noted that carriers are expecting a bump in pricing propelled by the latest gadgets being air freighted from Asia.
“Drewry expects airfreight rates to rise further through October,” according to Drewry Sea & Air Shipper Insight, “fueled by new product launches, tighter capacity conditions following the end of the passenger tourist season and improving demand for Asian manufactured goods in North America and Europe.”