AMSTERDAM — Freight carriers across the Pacific and Eurasia routes have been better prepared for year-end peaks after nearly 12 months of high demand and jitters from China, according to freight agents and air traffic executives, as e-commerce cargoes take over China's main airports With most of the hubs for air freight, carriers of traditional air cargo have been working this year to reach the most effective fixed rate agreement or reserved space agreement (BSA) to target the required traffic. Carriers have also adjusted inventory levels to address possible space shortages, especially during the traditional fourth quarter peak season for air freight.
Mark Fullarton, Zebra Technologies' global shipping director, said: “Space from China can be very tight, but we've been working with long-serving freight agents to ensure we have the space we need when we need it. We have a plan in place to deal with the shortage, so there are no alarms at this time.” Jeffrey van Haeften, senior vice president of global commercial at Emirates Skycargo in Dubai, said the BSA agreement ensured the airline was able to provide momentum for its freight agent market. About 50% of Skycargo's cargo is e-commerce, but they have set up a one-year BSA agreement that allows them to make room for loyal freight agents. Emirates flies 36 cargo planes from Hong Kong to Dubai every week, with cargo delivered to Hong Kong from Shanghai and Guangzhou.
Belly space for cargo and passenger flights from Asia to the US has been in peak season mode since the end of the first quarter due to strong and ongoing demand for e-commerce in the US and Europe. Belly space shortages Conor Brannigan, Atlas Air's vice president of strategy, told Business Daily that cabin space departing from Hong Kong (the world's busiest cargo airport) has yet to recover to pre-pandemic levels. Compared to 2019, Hong Kong's abdominal capacity has decreased by 4,000 tonnes per week, adding that this gap is enough to fill 400 747 freighters.
Atlas Air has a fleet of 120 cargo planes, 70 of which are wide-body aircraft for long-haul routes. Niall van de Wouw, CEO of Xeneta Freight Rate Benchmark Platform, said he had not received a signal of severe space shortages in the Asia-Pacific region during the year-end peak season. September data from air freight analyst WorldACD showed cargo volumes flying from China to the United States fell 8% year-on-year. HOWEVER, FREIGHT VOLUMES FLYING TO EUROPE FROM HONG KONG — OF WHICH E-COMMERCE ACCOUNTS FOR A LARGE PART — REMAINED HIGH THROUGH EARLY OCTOBER, AN INCREASE OF 26% YEAR-ON-YEAR.
