Air cargo freight rates continue to decline in April: Xeneta

Air cargo freight rate improvements continued to narrow in April amid weakening demand, geopolitical tariff tensions and a drop in jet fuel prices. While global air cargo volumes grew 4% year on year in April, global air cargo spot rates rose just 3% year on year, a second consecutive month of only a single-digit increase, said Xeneta, and a continuation of a narrowing of the growth rate. Rates were up 17% in January, 10% in February and 6% in March. “This slowdown aligns with weaker demand trends. Adding to the downward pressure on rates, jet fuel prices fell -24% year-on-year in the first three weeks of April,” said Xeneta.

“This drop, driven by ongoing economic and geopolitical uncertainties, likely played a role in tempering overall spot rate growth.”