Global air cargo rates peaked in November at $2.76 per kilogram, marking a 6% increase from the previous month, even as volumes dipped by 2% compared to October. Year-on-year, rates were up 11%. The latest report from WorldACD Market, which analyses market trends over the five weeks leading up to 1 December 2024, indicates that the global air cargo market continues to demonstrate relative strength, including robust performance in the Asia-Pacific region. Effective advanced planning by industry players helped to avert a capacity crunch during the peak season, preventing a late-year surge in rates.
Average global rates reached their highest level since January 2023. Europe and Central and South America showed the most notable rate increases, rising by 10% and 9%, respectively. WorldACD’s analysis, based on more than 450,000 weekly transactions, revealed that spot rates averaged $3.09 per kilogram in November, a 21% annual increase, while contract rates rose to $2.67 per kilogram, up 10% year-on-year.
Despite rising rates, overall cargo volumes fell by 2% in November compared to the previous month. The sharpest declines were recorded in the Middle East and South Asia origins (-11%), where levels had been particularly high for most of the year. In Europe, a 4% drop in volumes significantly impacted overall figures, attributed to reduced belly capacity on passenger flights since the start of the winter aviation season on 27 October, including service cuts by European carriers on routes to and from China.
In week 48 (25 November – 1 December), global average rates climbed a further 2% from the previous week, reaching $2.84 per kilogram—the highest level of the year as the fourth-quarter peak season intensified. Spot rates rose 3% week-on-week, driven by increases from Asia-Pacific (+4%), North America (+3%), Europe (+2%), and Central and South America (+1%), resulting in an annual rise of 19%. During the same week, total cargo weight transported fell by 3% compared to the prior week, mainly due to a 17% decline from North American origins. This drop was linked to the Thanksgiving holiday in the United States on 28 November. Excluding US-related flows, global volumes remained stable during week 48.
In the Asia-Pacific region, spot rates for shipments to Europe rose by 4% week-on-week, with significant increases across key markets. Rates from China reached $5.10 per kilogram (+7%), Hong Kong $6.25 (+9%), Japan $4.97 (+6%), South Korea $5.49 (+6%), Taiwan $4.07 (+5%), and Vietnam $4.88 (+3%). These figures are substantially higher than those of the same week last year, with year-on-year increases exceeding 30% for Japan and Vietnam and a remarkable 46% for Taiwan.
Although global volumes remained stable, shipments to Europe in week 48 increased further from China (+3%), Hong Kong (+5%), and Vietnam (+4%), surpassing last year’s levels by over 20%. Volumes from Asia-Pacific to Europe, including Thailand, Singapore, and Taiwan, recorded year-on-year growth of approximately 15%. The air cargo market’s resilience, bolstered by robust demand and proactive capacity management, underscores its critical role in global trade, particularly during the high-demand end-of-year period.
