AIR Rates go up and above

Following the devastating Typhoon Chanthu that hit Philippines, the airfreight rates of Asia have shown a spike in data due to the disrupted supply chain caused by airports to shut down. Furthermore, with Golden Week national holiday approaching in China, the spot rates are expected to remain or even increase in coming days.

Baltic Exchange Airfreight Index reports the following:

• Hong Kong to North America breached the $10.52 (a 105.9% increase from a year ago)
• Shanghai to North America rates went over $11 per kg
• Hong Kong to Europe rates at all time high - $6.04 per kg ($5.24 per kg the previous week)
• Shanghai to Europe rates above $7 per kg

Impact of the typhoon has lead to the conversion of ocean to air shipment in North East China which further push the prices up.

By Sonalika Nigam