Dimerco's latest freight report for April-May showcases a robust resilience across air and ocean freight markets despite the many global challenges.
“Air capacity demand soared over 50%, mainly from Chinese e-commerce and e-cigarette industries in the south. TEMU launched sea/air routes via Taiwan, Japan, and Korea to the U.S., changing traditional trade routes. As a result, freight rates from these routes now surpass those from mainland China, a rare phenomenon," says Kathy Liu, VP of global sales and marketing at Dimerco.
Key takeaways:
● The Global Manufacturing PMI rose to 50.6 in March 2024. Despite global economic pressures, such as heightened inflation and concerns over interest rate adjustments, the Asia-Pacific region continues to exhibit growth, with notable expansions in manufacturing and service sectors.
● The report reveals significant disruptions due to the crisis in the Middle East affecting trade routes, particularly from Asia to Europe. However, innovative routing through Dubai and increased demand for air capacity driven by e-commerce in China have partially mitigated these impacts.
● The ocean freight market saw a surge in new container ship deliveries, which helped maintain the supply-demand balance despite the pre-Labor Day cargo rush in China which prompted rate increases.
● Each country within the Asia-Pacific region demonstrated unique market conditions, with India showing a tightening in air freight space to the United States due to increased demand, while Southeast Asia displayed stability amidst global disruptions.
