The slowdown in global tonnage, that began in the latter half of March, accelerated in week 13 (March 31 to April 6 period), according to the latest weekly figures from WorldACD Market Data. 

 

Following a -1% decline the previous week, worldwide air cargo tonnages fell by -7%, week on week (WoW). 

 

About half of this was due to a seasonal drop in bookings during the Eid holidays at the end of Ramadan, while the other half reflects worldwide uncertainty over a trade war triggered by the latest wave of US tariffs and the removal of US de minimis exemptions for shipments from China and Hong Kong, stated the WorldACD Market Data. 

 

Despite the weakening in demand, volumes are still at a +6% higher level than the same week last year.

 

Amidst this overall downturn in tonnages, worldwide average rates still hold firm and are even continuing their upward trend seen since the beginning of March, increasing by +2%, WoW, and by +3% based on the comparison of the last two weeks with the previous two weeks, said the report. 

 

Compared with the same week last year (YoY), rates are +3% higher, in line with the trend of the last four weeks, based on the more than 500,000 weekly transactions covered by WorldACD’s data.

 

WorldACD Market Data said as per its latest weekly figures by origin region show demand falling across the board WoW, in week 14, most notably with double-digit percentage decreases ex-Middle East & South Asia (-24%) and ex-Africa (-21%), but also significantly ex-Asia Pacific (-7%), ex-Central & South America (CSA, -4%), and to a lesser extent ex-Europe (-3%) and ex-North America (-2%). 

 

Worldwide spot rates increased by +1%, WoW, to US$2.73 per kilo, the highest level seen since the beginning of the year, while worldwide average overall rates, based on a mix of spot and contract rates, edged up +2% to $2.52 per kilo, up +3% YoY, it added.-TradeArabia News Service