As ocean freight vessels continue to avoid the Red Sea area and rates spiral upwards, industry experts are forecasting a sharp increase in import air freight rates from Asia during the coming weeks.
Transit times by ocean freight have been extended due to longer journeys around the Cape Of Good Hope and rates between the two transport modes are narrowing. As a result, some shippers and importers are already starting to move shipments by air that would usually travel by sea.
As we witnessed during the post-pandemic period, when ocean freight is severely impacted by global events importers start to switch whole shipments or specific orders from sea to air. Therefore, increasing overall air freight volume, reducing available space and leading to higher rates.
This process has already started, although it has not impacted rates substantially yet, perhaps because we are in the middle of a traditionally slow volume period of the year. However, there could be upward movements in the coming weeks and in the build up to the Chinese New Year holidays.
Westbound are ideally positioned to provide competitive and reliable air freight services by import and export worldwide. For further information, please do not hesitate to contact a member of the Westbound team.
If you have any questions regarding the above, then Westbound are here to help. So, please do not hesitate to contact us.
