{"id":3940,"date":"2021-09-20T08:18:37","date_gmt":"2021-09-20T08:18:37","guid":{"rendered":"https:\/\/www.noatumlogistics.com\/uk\/airfreight-what-to-expect-last-quarter-2021\/"},"modified":"2022-12-21T08:36:05","modified_gmt":"2022-12-21T08:36:05","slug":"airfreight-what-to-expect-last-quarter-2021","status":"publish","type":"post","link":"https:\/\/www.noatumlogistics.com\/uk\/airfreight-what-to-expect-last-quarter-2021\/","title":{"rendered":"Airfreight update: second half of 2021"},"content":{"rendered":"<p>The current quarantine regulations for airports implemented by China have reduced airfreight capacity.<\/p>\n<p>The new rules <strong>affect the largest cargo airports in China such as Shanghai, Zhengzhou and Beijing<\/strong>, while there is a certain increase of volumes due to disruption in ocean and peak season already starting in the beginning of September.<\/p>\n<p>&nbsp;<\/p>\n<h2>Reduced general capacity<\/h2>\n<p>A significantly reduced throughout capacity at the airports is to be expected, and consequently <strong>backlogs, unloaded planes and eventually, flight cancellations<\/strong>, which altogether translates into less capacity, higher rates, and longer lead times.<\/p>\n<p>The total air cargo capacity- including wide body passenger and all freighter flights- was down 10% between August 23 and September 5, in comparison to the same weeks in 2019. On the other hand,<strong> transpacific Eastbound capacity remains strong in response to high demand, up +8% compared to 2019.<\/strong><\/p>\n<p>&nbsp;<\/p>\n<h2>Chinese Airports<\/h2>\n<p>Shanghai (PVG) air cargo capacity has dropped 30% in the last five weeks due to handling workers controls over Covid restrictions.<\/p>\n<p>In fact, this impact on PVG capacity may be higher, as the restrictions have forced many airlines to fly empty; a total of <strong>235 flights were cancelled over the past 5 weeks, 115 of them were freighter operations.<\/strong><\/p>\n<p>During the past 3 weeks, there has been an average of 50 fewer freighter flights weekly. Air cargo capacity ex PVG to North America and Europe (incl. via Middle East) has been affected the most.<\/p>\n<p><strong>Airlines and forwarders are forced to utilize airports in the west and south of China.<\/strong> HGH and CGO have increased its cargo capacity up to 40%, HKG and CAN up to 9%, and CTU, CKG, PEK up to 19%.<\/p>\n<p>&nbsp;<\/p>\n<h2>Holidays in China<\/h2>\n<p>Mid-Autumn festival, celebrated September 19-22, may worsen supply problems with the <strong>closure of many offices during the entire week<\/strong>.<\/p>\n<p>&nbsp;<\/p>\n<h2>Rates at historic highs<\/h2>\n<p>The impact of the shift of orders from ocean to air continues, while airfares from China to North America and Europe keep rising.<\/p>\n<p><strong>The rate increases are very high<\/strong>, with export rates out of China now at the levels of May 2020, when PPE equipment was being shipped.<\/p>\n<p>There are long space queues for all service levels, and <strong>transit times have become unexpectedly long<\/strong>, with no guarantee even for express-flash option.<\/p>\n<p>&nbsp;<\/p>\n<p>Considering this situation, the backlog becomes heavier and <strong>it is expected for the market congestion to worsen in the following weeks<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The current quarantine regulations for airports implemented by China have reduced airfreight capacity. The new rules affect the largest cargo airports in China such as Shanghai, Zhengzhou and Beijing, while&#8230;<\/p>\n","protected":false},"author":9,"featured_media":3941,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[87,84],"tags":[],"class_list":["post-3940","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-international-trade-articles","category-news-articles"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Airfreight update: second half of 2021 | Noatum Logistics<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.noatumlogistics.com\/uk\/airfreight-what-to-expect-last-quarter-2021\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Airfreight update: second half of 2021 | Noatum Logistics\" \/>\n<meta property=\"og:description\" content=\"The current quarantine regulations for airports implemented by China have reduced airfreight capacity. 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