Volumes and capacity recover from holiday contraction
Air cargo activity stepped up a gear and airlines redeployed capacity after a slowdown in the previous week caused by a convergence of public holidays in Europe (Pentecost), USA (Memorial Day) and the Eid al-Adha festival affecting notably Middle East & South Asia (MESA) and Africa origin regions. As oil prices eased further, airfreight pricing slipped -1% overall week on week (WoW), the latest figures from WorldACD Market Data show.
Global tonnage saw a WoW +3% rebound in week 23 (1 to 7 June) after a -7% drop in chargeable weight the week before. Growth was driven largely by double-digit increases in volumes from North America (+16%) and MESA (+13%), while Europe (+6%) and Africa (+3%) registered single-digit growth. Volumes out of Asia Pacific and Central & South America (CSA) decreased -2% each.
The impact of Eid al-Adha, which lasted four days, also shows clearly in a comparison of the past two weeks with the prior fortnight (2Wo2W), where MESA and Africa show drops of -13% and -12% respectively in outbound chargeable weight, whereas the other regions registered single-digit declines. Volumes out of Europe, North America and MESA declined on all intercontinental sectors 2Wo2W, while tonnage from Asia Pacific climbed +3% to North America but shrank on the other sectors, a reflection of continuing strong traffic development in e-commerce and AI-related equipment, especially from Southeast Asia.
On an annual basis total chargeable weight last week was +6% higher than in the same period last year, but it should be noted that in 2025 Pentecost and Eid al-Adha took place two weeks later than this year, which skews a direct year-on-year (YoY) comparison. Last year the week after these public holidays showed a +2% WoW rise in chargeable weight, comparable to this year’s WoW recovery.
Owing to the different date for Eid al-Adha, this year tonnages in week 23 out of Africa and MESA were respectively -5% and -2% lower YoY, while the other regions showed increases between +3% (Europe) and +9% (Asia Pacific). Chargeable weight from MESA to Europe rebounded +13% WoW, driven by increases from Dubai (+19%) and India (+9%), while exports to USA, on the other hand, declined -4% overall, due to decreases from Bangladesh (-42%) and India (-2%).
Traffic from Asia Pacific contracted -6% WoW to Europe, with chargeable weight falling across the board, led by double-digit declines out of Malaysia (-24%), Vietnam (-16%), Taiwan (-11%) and Singapore (-10%), while exports to USA were flat overall WoW, as higher volumes from mainly Thailand, Vietnam and South Korea were cancelled out by volume decreases from Malaysia, Indonesia, Hong Kong and Japan.
Capacity returns
Having shrunk -1% WoW in week 22, global capacity recovered last week with a rise of +1% WoW, driven by increases of +8% from MESA and +2% from Africa. With the exception of North America (-2%), capacity from the other origins was unchanged. Flights in and out of MESA jumped +11% WoW, rebounding from a -5% decline the previous week, as Doha reached its highest capacity level in five weeks. However, compared to before the Iran war capacity from MESA is still -28% below, with the Gulf Area at -43% and South Asia at -11%.
Sinking fuel price nudges rates down
With aviation fuel prices continuing their recent descent, global airfreight pricing slipped -1% WoW to a global average of US$3.24 per kilo, as rates from Africa and MESA fell -10% and -4% respectively, while prices from Europe and CSA declined -1%. Average rates out of Asia Pacific and North America rose +1%. YoY pricing is still up +33%, with CSA (+9%) the only region not to register double-digit increases, which elsewhere range from +26% (North America) to +47% (MESA).
Spot rates from Asia Pacific rose +1% WoW, with a jump of +3% to USA and +1% to Europe. The increase to USA was led by Japan (+13%) and Indonesia (+8%), while prices from China and Vietnam rose +3%, whereas rates from South Korea fell -11%. Spot rates from Asia Pacific to Europe were overall quite stable WoW for the main origin countries, with the exception of China (+5%) and Thailand (-6%).
This week a new outbreak of hostilities occurred in the Middle East, which stopped the recent decline in oil prices, suggesting upward price pressure likely built up and will remain unless an end to the conflict will arrive soon.
