Global air freight rates took a slightly firmer tone last week, according to the latest data from TAC Index.

The price reporting agency (PRA) for air freight noted that the overall Baltic Air Freight Index (BAI) edged up +1.2% in the week to 14 August, although its 12-month decline still stood at -45.1%.

"With jet fuel prices surging about 20% in the month to early August but passenger traffic also very strong for many airlines, market sources are now expecting this firmer tone to continue into September," TAC Index said.

It added that the rise in rates last week was broad-based, with outbound Hong Kong (BAI30) — the world's biggest cargo airport by volume — rising +1.7% WoW to keep its YoY fall at a relatively modest -40.9%.

TAC Index said: "Sources cited strong demand on TransPacific routes, which often lead the market trend ahead of Thanksgiving — though rates from Hong Kong were also higher to Europe as well as to North America."

Out of Shanghai (BAI80) rates were also stronger in the US though lower in Europe, rising overall +2.2% WoW to leave the YoY decline at -47.3%. 

Meanwhile, the PRA for air freight said the only major outbound location to show a decline was Frankfurt (BAI20) which fell -2.1% WoW to leave its YoY drop at -45.5%, dragged down by lower rates to North America. 

London (BAI40) edged up slightly +0.5% WoW due mainly to higher rates to South East Asia, though with rates to the US dropping. 

"There was also a firmer tone from Chicago (BAI50) ­– up +1.5% WoW leaving its YoY decline at -45.4% led by higher rates to Europe," TAC Index said. "Elsewhere out of the US, rates were generally a little lower both to China and to South America."

It added that among other locations, rates were fairly flat from Vietnam – but rising sharply out of India both to Europe and to North America.