According to the latest weekly data and analysis from WorldAcd Market Data, released on 22 November 2024, average spot rates for cargo flights departing from Europe rose by 10% in week 46 (11-17 November), reaching $2.71 per kilogram, representing a 23% increase compared to the same period last year. Meanwhile, average rates from Asia-Pacific remained stable at $4.39 per kilogram, while a 3% rise in volumes from this region contributed to a 4% increase in global rates, which averaged $3.14 per kilogram. Rates from Central and South America and North America also showed modest weekly increases of 4% and 3%, respectively.
The most significant changes in recent weeks occurred in the westbound transatlantic market, particularly on routes from Europe to the United States and South America. Spot rates from Europe to the United States saw consecutive increases of 16% and 17% in weeks 45 and 46, bringing rates to $3.34 per kilogram—an overall increase of 48% over five weeks and 36% in the past two weeks. This reflects reduced capacity following the start of the winter flight schedules on 27 October and increased demand in anticipation of the U.S. Thanksgiving holiday on 28 November, as well as the fact that load factors in the westbound transatlantic market were already relatively high.
Meanwhile, spot rates from Europe to South America increased from $4.32 per kilogram in week 44 to $5.88 in week 46, a rise of 36%. Rates to Brazil saw the most significant increases, with high levels of congestion at São Paulo airport and even a five-day embargo on cargo until 11 November, pushing spot rates from Europe to Brazil from $4.19 per kilogram in week 44 to $6.58 in week 46, a surge of 57%.
While markets remain relatively strong, including those from Asia-Pacific, effective forward planning by air cargo operators seems set to prevent a capacity crisis during the peak season and sharp rate increases from Asia-Pacific markets. Nonetheless, spot rates to Europe from China, Hong Kong, and South Korea recorded weekly increases of 11%, 5%, and 4%, respectively, reaching $4.98, $5.93, and $4.93 per kilogram. However, spot rates from Asia-Pacific to the United States fell by 4% weekly, including a 2% drop from China.
According to over 450,000 weekly transactions covered by WorldAcd data, average global spot rates are up 25% compared to last year, with the Middle East and South Asia still at significantly high levels (+73%) and rates from Asia-Pacific up by 22%. On an overall average of spot and contract rates, global rates have increased by 2% weekly and 11% year-on-year.
