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Cross-Border e-Commerce Drives Airfreight Demand

By all accounts it appears a renaissance is underway in the global airfreight market. IATA’s 2017 data through April indicates a simple average freight tonne kilometer (FTK) growth of over 9.0% while available freight tonne kilometer (AFTK) average growth of just shy of 3.0%. With May data due soon, Cargo Facts anticipates double digit growth. […]

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Is Global Air Freight on the Mend?

Are we finally seeing improving air freight conditions? It’s possible, somewhat, as IATA and World ACD reported strong September year-over-year gains for the market with IATA noting 6.1% increase in freight tonne kilometers (FTK) and World ACD reporting a 1.4% increase month-over-month worldwide yield, expressed in USD for the month. According to IATA, September’s FTK […]

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Amazon’s Air Freight Aspirations

“…it would be a daunting task requiring tens of billions in capital and years to build sufficient scale and density to replicate existing networks like FedEx.” – President of FedEx Services Meet Amazon’s ‘Prime Air’. After investments in fulfillment and sortation facilities, trailers, IT and the hiring of industry expertise and know-how, Amazon added another […]

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Not as Simple as Shifting Volumes from Air to Ocean

According to the CPB World Trade Monitor, in terms of value, total 2015 international trade declined   by 13.8%, the biggest drop since 2009. Falling fuel and commodity prices were the major culprits for this drop. Despite the decline in terms of value, trade volumes grew 2.5% indicating global trade still is expanding, albeit at a […]

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Amazon – Friend or Foe?

With 2015 net sales of $107.0 billion, up 20.2% year-over-year, Amazon is definitely a force to be reckoned with as it continues to innovate and expand its popular Amazon Prime subscription service. But with this impressive growth comes costs and Amazon’s costs are growing at a rapid clip. Fulfillment costs in 2015 increased year-over-year 24.6% […]

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A Bumpy Q3 for Some Freight Forwarders

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Another bumpy quarter for the freight forwarding market thanks to a global economy that is slowing. The US, however, was a bright spot for many forwarders due to rising imports ahead of the peak season. Asia-Europe trade lane was cited by several forwarders as weak while others noted weakness in emerging markets. In terms of […]

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How Do We know if Goods are Still Good? – A Chat with CargoSense

As the need for temperature-controlled transportation rises, problems persist. According to The Loadstar article, “Unreliable Air Cargo Industry Loses Pharma Traffic While IATA Sleeps”, Kuehne + Nagel’s senior vice president for global air logistics products and services, Marcel Fujike, is quoted, “There was a lack of skills, training and standards throughout cool-chain logistics, with “no […]

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Global Air Freight Struggles but Opportunities do Exist

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This past week, IATA published its monthly air freight report for the month of July and things appear still questionable for the global market. As noted a couple of weeks ago in the feature post, Where is Airfreight Heading? Random spikes are expected for the rest of the year depending on threats and risks affecting […]

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Where is Airfreight Heading?

As we head into the final months of 2015 questions abound regarding how the airfreight market will perform. Will it rebound strongly in the same manner as last year? Or will it continue along as is? Insight into associations and individual carriers and airports indicates a mixed bag. The latest figures from the International Air […]

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Chart: Monthly IATA Air Freight Data

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Based on IATA data, freight-tonne kilometers (FTKs) began to outpace available freight-tonne kilometers (AFTKs) in February 2014 perhaps because of the timing of the Chinese New Year holiday. Typically, however, airfreight levels off within one to two months after the holiday but this was not the case in 2014. FTKs continued to outpace AFTKs throughout […]

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