Weekly Air Operations Update: Shanghai to Europe, US and Australia 10/03/23

Shanghai to London

• Due to a big launch of eCommerce and Apple products, freight rates are relatively high, especially southern China
• Airport operations are currently normal
• Hauliers are working as normal
• No flight cancellations
• No weather disruptions
• Space is currently open
• Freight rates continued to rise as exports increased significantly this week

Shanghai to New York

• Due to a big launch of eCommerce and Apple products, freight rates are relatively high
• Airport operations are currently normal
• Hauliers are working as normal
• No flight cancellations
• No weather disruptions
• Space is currently open
• Rates are still high, but it is expected that volumes will drop next week, which means rates will also likely drop

Shanghai to Los Angeles

• Due to a big launch of eCommerce and Apple products, freight rates are relatively high
• Airport operations are currently normal
• Hauliers are working as normal
• No flight cancellations
• No weather disruptions
• Space is currently open
• Rates are still high, but it is expected that volumes will drop next week, which means rates will also likely drop

Shanghai to Frankfurt

• Due to a big launch of eCommerce and Apple products, freight rates are relatively high
• Airport operations are currently normal
• Hauliers are working as normal
• No flight cancellations
• No weather disruptions
• Space is currently open
• Europe rates have not increased significantly compared to last week; rates in southern China are significantly higher than those in Shanghai

Shanghai to Melbourne

• Export volumes have risen slightly this week; flight capacity is normal and rates are rising slowly
• Airport operations are currently normal
• Hauliers are working as normal
• No flight cancellations
• No weather disruptions
• Space is currently open
• Prices are relatively stable at present

Shanghai to Sydney

• Export volumes have risen slightly this week; flight capacity is normal and rates are rising slowly
• Airport operations are currently normal
• Hauliers are working as normal
• No flight cancellations
• No weather disruptions
• Space is currently open
• Prices are relatively stable at present

Market intel

• China sets 5pc GDP growth for 2023 after Covid
  

  CHINA has set a modest gross domestic product growth target for 2023 at around 5 per cent after missing its goal last year due to the economic fallout from its now-ended zero-Covid policy.

  The target figure, which is slightly down from approximately 5.5 per cent in 2022, was unveiled by Premier Li Keqiang when he delivered the annual government report to the National People's Congress (NPC) two days ago.

  Last year, the world's second-biggest economy registered just a 3.0 per cent expansion from the 2021 figure.

  It was one of the slowest paces of growth in several decades, caused in large part by stringent antivirus measures involving quarantines and lockdowns, reports Japan's Kyodo News.

  China's GDP growth target for 2023 compares with a 5.2 per cent expansion projected by the International Monetary Fund in its update of the World Economic Outlook report released in late January, citing the lifting of pandemic restrictions.

  The IMF said a deepening slump in China's real estate market is a major source of vulnerability, in addition to weakening business dynamism and slow progress on structural reforms.

• N. China
  TPEB demand continues to increase leading to tight capacity conditions. Space is already quite full through the end of the week. The main contributing factor is an increase in eCommerce demand. As a result, rates have increased this week. The FEWB market remains unchanged with rates remaining the same as the previous week.

• S. China
  Supply is tight with demand increasing in the market, resulting in rates increasing from the week prior.