Global air cargo average spot rates rose by a further 4% in the first full week of December to a 2024 high of US$3.30 per kilo, driven by an 8% surge from Asia Pacific origins, as the sector approaches the peak of its strong yet relatively stable fourth-quarter (Q4) season.

According to the latest figures and analysis by WorldACD Market data, average spot rates from Asia Pacific origins rose to US$4.86 per kilo in week 49 (December 2 to 8), thanks to the 8% week-on-week (WoW) increase, taking them 19% above their levels in the same week last year.

Spot rates from African origins also rose by 12%, WoW, partly in response to a surge in traffic to European markets.

There was also a further 3% increase from Europe origins to US$2.93 per kilo, boosted by a 4% WoW increase from Europe origins to North America, taking average rates to US$3.97 per kilo on that westbound transatlantic lane.

Tonnages worldwide were stable in week 49, with a slight (1%) WoW increase,  mainly driven by a 14% WoW rebound in volumes from North American origins (15% from the US) following the Thanksgiving holiday period in the US.

But there were also significant WoW tonnage increases from China to the US and to Europe, which helped drive up spot prices on those markets by 10% and 12%, WoW, to US$6.83/kg and US$5.52/kg, respectively.

 [Source: WorldACD]

Asia to Europe spot rates surge

WorldACD noted that alongside that 12% spike from China to Europe, Taiwan to Europe spot prices rose 20%, WoW, in week 49 to US$4.76 per kilo, and there were further WoW increases from Japan (3%), Vietnam (3%), Thailand (4%), and Malaysia (3%).

Hong Kong to Europe rates dipped slightly by 1% but have been significantly elevated in the last two weeks, standing at US$6.22/kg.

"Compared to last year, there are some really big year-on-year (YoY) increases in spot prices to Europe, particularly from Southeast Asian markets such as Indonesia (94%), Thailand (67%), Malaysia (50%), Singapore (42%), and Vietnam (30%), while Taiwan to Europe spot prices are currently 62% higher, YoY.

WorldACD said the YoY spot rate increases to Europe from China (18%), Hong Kong (7%) and South Korea (14%) are "less pronounced" than from some of those Southeast Asian markets, although rates from China and Hong Kong, particularly, were already highly elevated this time last year, boosted by surging cross-border e-commerce volumes.

Compared with last year, average worldwide spot rates in week 49 were up 21% YoY, led by a 62% increase from the Middle East & South Asia (MESA) origins and 19% YoY increases from Asia Pacific and Europe.