Asian trade lane see descent in airfreight rates in September

According to the latest figures from the Baltic Exchange Airfreight Index (BAI), airfreight rates on key trade lanes out of Asia continued to weaken in September despite the industry heading towards the peak season. The latest figures show that in September rates from Hong Kong to North America declined by 18.5% compared with a year ago to $7.94 per kg and are also down on the $8.33 per kg achieved in August. The declines are noteworthy for two reasons, firstly rates on the trade lane tend to increase from August to September and secondly it is only the second time since February 2020 that prices on the trade have registered a year-on-year decline. Meanwhile, average prices from Hong Kong to Europe stood at $6.09 per kg in September, which is down on the $6.34 per kg registered in August but remains 9.3% ahead of the year-ago level. Rates on this lane also tend to increase between August and September. The falls come as bellyhold capacity continues to return to the Hong Kong market as Covid restrictions are eased and the air cargo outlook remains cloudy, suggest reports.