Ocean Freight Updates
Capacity: Critical/severe under-capacity
Recommendation: Continue to book well in advance 1-2 months prior to targeted departure for the best possible chance of hitting the target departure date. Encourage suppliers to be flexible and support departures from different origin ports.
Air Freight Updates
The airfreight market picked up strength during the second week of July as export volumes from China increased and rates followed suit.
SE Asian origins continue to see tight capacity situations with only Taiwan easing a bit as subdued demand and increased capacity from home carrier China Airlines helped to push down rates below $10/kg for the first time in months.
Fuel surcharges are increasing in many countries as crude oil reaches prices not seen before. Continued production caps from OPEC could see oil continue its rising prices, which will keep air freight rates high as airlines look to capture this added expense.
The outlook for August is for higher rates. Make bookings early to avoid lengthy uplift delays.