Global air cargo rates are still rising, but the pace of increase is beginning to slow as some stability returns to aviation markets affected by the war in Iran.
According to WorldACD, the average global air cargo spot rate rose by 1% week on week in the week ending April 19, reaching $3.73 per kg. This is the smallest weekly increase recorded since the conflict began at the end of February.
Over the past eight weeks, rates have increased by 40%, equivalent to an average weekly rise of around 6.5%. The previous week alone had seen a 3% increase.
WorldACD said the slowdown reflects a partial recovery in regional aviation capacity, supported by a fragile ceasefire in place since April 8. The market remains under pressure, especially around the Strait of Hormuz, but the situation is less severe than in the early weeks of the conflict.
The latest rate increase was mainly driven by Asia Pacific origins, where spot rates rose 3% week on week to $5.14 per kg.
Capacity in the Middle East and South Asia region remains around 30% below pre-war levels, although this is an improvement from the 35% decline recorded a week earlier. South Asia capacity is now close to pre-war levels, while the Middle East gap narrowed to 46%, compared with 53% two weeks earlier.
Despite the slower weekly increase, global air cargo prices remain 46% higher than a year ago.
