Author: Admin

By Rebecca Jeffrey

Sanctions imposed on Russian aircraft fleets are further squeezing air cargo capacity in an already constrained market.

Pierre Van Der Stichele, vice president of global freight at aviation services group Air Partner told Air Cargo News that airspace bans on Russian aircraft imposed by the EU, US and others have added to the existing pressure on airfreight capacity caused by the Covid-19 pandemic and ongoing seafreight congestion.

“Sanctions affecting Russian carriers have significantly impacted the air cargo industry,” said Stichele. “Freighter capacity has already been heavily reduced by the pandemic; the disappearance of additional capacity due to sanctions only exacerbates the difficulties facing the air cargo industry.”

Volga-Dnepr Group’s Volga-Dnepr Airlines normally operates a fleet of 12 Antonov-124-100 aircraft and five Ilyushin-76-TD-90-VD aircraft, but these aircraft are now restricted to domestic operations.

The Volga-Dnepr Group (VDG) recently confirmed that it has taken the decision to temporarily suspend operations at its AirBridgeCargo and Atran Airlines subsidiaries in response to sanctions affecting lessors and the decision of Bermuda Civil Aviation Authority (BCCA) to suspend all airworthiness certificates for Russian aircraft on its registry.

AirBridgeCargo’s fleet consists of 17 Boeing 747 freighters and 1 Boeing 777 F. Atran Airlines’ fleet comprises five B737Fs.

VDG partner company, UK-registered Cargologicair operates two 747-400Fs, while Leipzig-based VDG partner company Cargologic Germany operates four 737Fs. No activity has been seen for either airline on Flightradar24 for the last seven days.

Stichele pointed out that Ukranian Antonov Airlines, whose unique AN-225 aircraft was recently destroyed, is currently using its remaining fleet for humanitarian relief flights.

“Additionally, the Ukrainian Antonov Airlines, whilst still operating its remaining AN124s, is focusing its serviceable fleet solely on relief efforts in support of Ukranian refugees. This leaves only one outsized cargo operator available for all commercial project cargo demands, the AN124 operated by Maximus Air Cargo.”

He added: “The situation has also driven up fuel prices to record levels, however,  the high level of demand is showing no sign of stopping.”

Antonov Airlines specialises in the transportation of outsized and project cargo worldwide using its fleet of seven AN-124-100 “Ruslan” aircraft, two of which have a payload up to 150 tonnes, its 60-tonne payload AN-22, and its unique 250-tonne payload AN-225 “Mriya”, which is the largest aircraft in the world, as well as smaller AN-74 and AN-26 aircraft.

Stichele added that P&O stopping its ferry operations while it carried out mass redundancy procedures put extra pressure on the airfreight sector, already under pressure from the pandemic and seafreight congestion.

“The ongoing situation with P&O Ferries presents the risk of severe port delays, particularly at Dover and Calais. The halting of these ferries and the group’s operations creates a surge of demand for other forms of travel such as rival ferry companies or the Euro Tunnel.

“This increase in demand will have a severe effect on already stretched cargo and freight capacity. Over 15% of all the freight and cargo capacity carried in and out of the UK is provided by P&O Ferries. Demand and costs for these services are at an all-time high and reorganising alternative means of delivery will be slow and costly.

“We have seen an increased interest in airfreight in the wake of previous situations that delayed sea freight services, such as the Suez Canal blockage last year. Additionally, there has already been a marked shift from sea to air due to ongoing seafreight problems as a result of pandemic-related disruption. We expect to see this trend continue as airfreight continues to become an ever more attractive option for exporters.”

Geneva – The International Air Transport Association (IATA) welcomed the increasing momentum towards re-opening of borders and relaxation of travel restrictions, as COVID-19 moves into the endemic phase.

An IATA survey of travel restrictions for the world’s top 50 air travel markets (comprising 88% of international demand in 2019 as measured by revenue passenger kilometers) revealed the growing access available to vaccinated travelers:

•             25 markets representing 38% of 2019 international demand are open to vaccinated travelers without quarantine measures or testing requirements—up from 18 markets (28% of 2019 international demand) in mid-February.

•             38 markets representing 65% of 2019 international demand are open to vaccinated travelers with no quarantine requirements—up from 28 markets (50% of 2019 international demand) in mid-February.

Repeated surveys of passengers by IATA during the pandemic has shown that testing and especially quarantine are major barriers to travel.

The regional variations in the degree of openness among the markets are stark.

Region  # of markets in top 50    # of markets open to vaccinated travelers with no quarantine requirements

Asia Pacific          16           6

Americas             9              9

Europe 20           18

Middle East        3              3

Africa    2              2

Travel in Asia remains heavily compromised by COVID restrictions. While North American and European international traffic rebounded to -42% of their 2019 peaks last year, traffic in Asia Pacific remained at -88%. Even in this region, however, there has been some progress, with India and Malaysia among the countries recently announcing relaxation of restrictions.

The easing of measures reflects the growing consensus that travel restrictions such as border closures and quarantine do little to control the spread of COVID-19. A recent report by OXERA and Edge Health, looking at the spread of the Omicron variant in Europe, concluded that travel restrictions may only delay the peak of a wave by a few days.

“The world is largely open for travel. As population immunity grows, more governments are managing COVID-19 through surveillance, as they do for other endemic viruses. That is great news for a growing number of destinations that will receive a much-needed economic boost from the upcoming Easter and Northern Summer travel seasons. Asia is the outlier. Hopefully recent relaxations including Australia, Bangladesh, New Zealand, Pakistan, and the Philippines are paving the way towards restoring the freedom to travel that is more broadly enjoyed in other parts of the world,” said Willie Walsh, IATA’s Director General.

By Damian Brett

Amazon Air B767

Amazon Air has rapidly expanded its air cargo operations in Europe over the last six months and its overall fleet looks set to hit 100 aircraft by the end of the year.

A new report by the Chaddick Institute for Metropolitan Development shows that e-commerce giant Amazon’s air cargo arm has expanded its flying in Europe to an average of 38 daily flights in March 2022 compared with 18 daily flights in August 2021.

Its network in Europe is operated by Dublin-based ASL Airlines and now covers nine locations: East Midlands, Hannover, Paris CDG, Cologne-Bonn, Milan, Rome, Katowice, Leipzig, Barcelona and Madrid.

The report said the largest increase in flying in Europe was through Amazon’s “partner flights” rather than on Amazon Air registered aircraft.

“Flights on Amazon Air-registered planes within Europe grew from 8.2 daily in August to 18.2 this month,” the report states. “Partner flights grew even more dramatically, our analysis suggests, rising from just a handful to around 20–24 daily.”

Amazon Air’s busiest location in Europe was Cologne-Bonn – also a hub for UPS – and Paris CDG, which each averaged 5.8 daily flights.

Source: Chaddick Institute

Overall, the e-commerce airline increased its average daily flying to from 163.6 flights per day in August 2021 to 187 flights this month, a 14.3% increase.

The report said that growth comes from increased flying to/from major hubs, particularly Cincinnati and Wilmington, Fort Worth, Seattle, and San Bernardino as well as on the previously mentioned intra-Europe routes.

“For the remainder of 2022, expect growth to follow a similar pattern to the latter part of last year, which was an exciting time for Amazon Air,” said the report’s authors, Joseph Schwieterman, Borja González Morado and Abby Mader.

“Its annual growth in flight activity is likely to hover around 20-24%, which, while somewhat slower than in the recent past, is still impressive.”

They added: “Although exponential growth may be relegated to the past, Amazon Air’s fleet, now reportedly 88 planes, could surpass 100 by the end of the year, a notable achievement considering the modest slowdown in economic growth underway and dramatic increases in jet fuel costs.

“Although our prediction roughly 20 months ago that Amazon Air would have 200 planes by 2028 was speculative, it remains in our view reasonable. In fact, it may be conservative, considering that Amazon Air is now acquiring turboprops and that, when the partner network is included, it may already account for 110+ planes regularly in service.”

They also predicted that Amazon Air could acquire B777 freighters as it expands into intercontinental flying. The report said the aircraft could result in flights from the Pacific Rim to the Riverside and San Bernardino hubs, although the full effects of this may not be seen until mid-2023 or later.

By Damian Brett

Cathay Pacific Cargo has ramped up its focus on regional services as its long-haul operations are still constrained by flight crew quarantine requirements.

The Hong Kong-based airline in February saw its cargo traffic decline by 53.3% to 240.5m in cargo tonne kms as its long-haul freighter operations were limited.

In January, the carrier axed freighter flights to Europe and reduced to capacity to several other long-haul destinations as the Hong Kong government introduced stricter crew quarantine requirements.

In February, the airline operated around 25% of its pre-Covid cargo flight capacity.

The airline said that stricter requirements for cross-border trucking between the Chinese Mainland and Hong Kong, as well as the surge in Covid-19 cases in Hong Kong also reduced demand from its home market.

“Furthermore, the anticipated market recovery from Asia to long-haul destinations was slower than expected post-Chinese New Year,” Cathay Pacific added.

Cathay Pacific chief customer and commercial officer Ronald Lam said that the cargo business had been focusing on regional operations.

“In order to mitigate these headwinds, our teams focused on regional routes and we saw encouraging demand on these services,” Lam said.

“Of particular note was the demand for Rapid Antigen Test (RAT) shipments, which was strong throughout the month and continues to be so. As of the end of February, we have delivered over 13m RAT kits to Hong Kong.

“We will continue to support the Government’s anti-pandemic efforts with the delivery of important medical supplies.”

“We are re-deploying freighters to North Asia and the Indian sub-continent to maximise opportunities within the region while our ability to operate long-haul services remains constrained.

“Nevertheless, we are continually looking to increase our long-haul cargo flight capacity where possible, and we have resumed freighter services into Atlanta, Houston and Miami in the US.

“Our total Hong Kong export volumes will likely remain under pressure throughout the month. Despite this, overall demand from other markets is strengthening and we will look to capture as much of this opportunity as possible.”

The carrier has yet to confirm when it plans to restart operations to Europe.

Earlier this month, Cathay Pacific Group reported its 2021 results, confirming it faced an attributable loss of HK$5.5bn for last year and is looking to increase “cargo capacity as much as practicable”.

Air cargo growth figures for January were “below expectations” while the outlook for the year ahead is uncertain, according to IATA.

The airline association’s latest monthly report shows that global air cargo demand in cargo tonne km terms increased by 2.7% year on year in January.

Capacity for the month was up by 11.4% aginst a year earlier – although it is still down around 8.9% on pre-Covid levels – and cargo load factors were down 4.6 percentage points year on year to 54.1%.

IATA director general Willie Walsh said: “Demand growth of 2.7% in January was below expectation, following the 9.3% recorded in December. This likely reflects a shift towards the more normal growth rate of 4.9% expected for this year.

“Looking ahead, however, we can expect cargo markets to be impacted by the Russia-Ukraine conflict.

“Sanction-related shifts in manufacturing and economic activity, rising oil prices and geopolitical uncertainty are converging. Capacity is expected to come under greater pressure and rates are likely to rise. To what extent, however, it is still too early to predict.”

Looking at air cargo indicators, IATA pointed out that the purchasing managers index tracking export orders had dropped below the 50 point mark for the first time since August 2020, but added that inventory-to-sales ratios remained low.

On the Russia-Ukraine conflict, IATA said that overall it would have a negative impact on air cargo, but it may not cause too much of a drop off in demand levels.

“The impact on global markets is expected to be low as cargo carried to/from/within Russia accounted for just 0.6% of the global cargo carried by air in 2021,” IATA said, adding: “Several specialised cargo carriers are registered in Russia and Ukraine, particularly those involved with heavy lift operations.”

Looking at regional performance, Asia Pacific airlines registered a 4.9% year-on-year increase in cargo traffic in January, although this was “significantly” below the previous month’s 12% expansion.

“The zero-Covid policy in mainland China and Hong Kong is impacting performance,” IATA said. “Preparations for the Lunar New Year holiday may have also had an impact on volumes, but it is difficult to isolate.”

Carriers in the North America region posted a 1.2% decrease in cargo demand as supply chain congestion due to labor shortages, severe winter weather and issues with the deployment of 5G as well as a rise in inflation and weaker economic conditions affected growth.

In Europe, there was a 7% increase as the region was “more resilient” than most other regions.

“European carriers benefited from robust economic activity and an easing in capacity,” IATA said.

Middle Eastern carriers also registered a fall, with cargo traffic dropping 4.6% due to a “deterioration in traffic on several key routes such as Middle East-Asia, and Middle East-North America”.

Latin America carriers reported a January increase in cargo demand of 11.9% compared with a year ago, although this is “well below” pre-Covid levels, and African airlines saw cargo traffic increase by 12.4%.

10 March 2022   No: 14

Geneva – The International Air Transport Association (IATA) announced that the recovery in air travel slowed for both domestic and international in January 2022 compared to December 2021, owing to the imposition of travel restrictions following the emergence of Omicron last November.

Note: We are returning to year-on-year traffic comparisons, instead of comparisons with the 2019 period, unless otherwise noted. Owing to the low traffic base in 2021, some markets will show very high year-on-year growth rates, even if the size of these markets is still significantly smaller than they were in 2019.

•             Total demand for air travel in January 2022 (measured in revenue passenger kilometers or RPKs) was up 82.3% compared to January 2021. However, it was down 4.9% compared to the previous month (December 2021) on a seasonally adjusted basis.

•             January domestic air travel was up 41.5% compared to the year-ago period but fell 7.2% compared to December 2021 on a seasonally adjusted basis.

•             International RPKs rose 165.6% versus January 2021 but fell by 2.2% month-on-month between December 2021 and January 2022 on a seasonally adjusted basis.

 “The recovery in air travel continued in January, despite hitting a speed bump called Omicron. Strengthened border controls did not stop the spread of the variant. But where population immunity was strong, the public health systems were not overwhelmed. Many governments are now adjusting COVID-19 polices to align with those for other endemic viruses. This includes lifting travel restrictions that have had such a devastating impact on lives, economies and the freedom to travel,” said Willie Walsh, IATA’s Director General.

2021 Calendar year (% chg vs 2019)          World share in 20211      RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  82.3%    51.8%    10.8%    64.5%

Africa    1.9%      21.3%    10.6%    5.5%      62.3%

Asia Pacific          27.5%    19.4%    15.7%    1.8%      57.6%

Europe 24.9%    161.4%  106.7%  14.3%    68.2%

Latin America     6.5%      80.5%    59.2%    9.2%      78.2%

Middle East        6.5%      128.1%  64.8%    16.4%    59.1%

North America  32.7%    109.7%  59.0%    16.0%    66.3%

1% of global RPKs   2Change in load factor vs same period in 2019 3Load Factor Level

 International Passenger Markets

•             European carriers’ January international traffic rose 225.1% versus January 2021, which was up slightly compared to a 223.3% increase in December 2021 versus the same month in 2020. Capacity rose 129.9% and load factor climbed 19.4 percentage points to 66.4%.

•             Asia-Pacific airlines saw their January international traffic climb 124.4% compared to January 2021, down significantly from the 138.5% gain registered in December 2021 versus December 2020. Capacity rose 54.4% and the load factor was up 14.7 percentage points to 47.0%, still the lowest among regions.

 •            Middle Eastern airlines had a 145.0% demand rise in January compared to January 2021, well down compared to the 178.2% increase in December 2021, versus the same month in 2020. January capacity rose 71.7% versus the year-ago period, and load factor climbed 17.5 percentage points to 58.6%.

•             North American carriers experienced a 148.8% traffic rise in January versus the 2021 period, significantly decreased versus the 185.4% rise in December 2021 compared to December 2020. Capacity rose 78.0%, and load factor climbed 17.0 percentage points to 59.9%.

 •            Latin American airlines saw a 157.0% rise in January traffic, compared to the same month in 2021, an upturn over the 150.8% rise in December 2021 compared to December 2020. January capacity rose 91.2% and load factor increased 19.4 percentage points to 75.7%, which easily was the highest load factor among the regions for the 16th consecutive month.

 •            African airlines’ traffic rose 17.9% in January 2022 versus a year ago, a slowdown compared to the 26.3% year-over-year increase recorded in December 2021. January 2022 capacity was up 6.3% and load factor climbed 6.0 percentage points to 60.5%.

Domestic Passenger Markets

2021 Calendar year (% chg vs 2019)          World share in 20211  

RPK        ASK        PLF (%-pt)2         PLF (level)3

Domestic             62.4%    41.5%    27.2%    6.8%      67.4%

Australia              0.7%      33.4%    43.0%    -3.8%     53.4%

Brazil     1.9%      35.5%    32.3%    2.0%      83.5%

China P.R.            17.8%    -0.1%     3.2%      -2.0%     60.6%

India      2.2%      -18.0%  -13.7%  -3.4%     65.6%

Japan    1.1%      107.0%  51.1%    11.7%    43.4%

Russian Fed.       4.5%      23.8%    21.5%    1.6%      84.4%

US          25.7%    97.8%    51.7%    16.1%    69.0%

1% of global RPKs   2Change in load factor vs same period in 2019 3Load Factor Level

•             Japan’s domestic demand was 107%, which was the fastest year-on-year growth recorded, although on a seasonally adjusted basis, January 2022 traffic slipped 4.1% from December.

 •            India’s domestic RPKs fell by 18% year-on-year in January , which the biggest decline recorded for any of the domestic markets tracked by IATA. On a month-on-month basis, seasonally adjusted RPKs dropped by nearly 45% between December and January.

2022 vs 2019

Despite the strong traffic growth recorded in January 2022 compared to a year ago, passenger demand remains far below pre-COVID-19 levels. Total RPKs in January were down 49.6% compared to January 2019. International traffic was down 62.4%, with domestic traffic off by 26.5%.

  January 2022 vs. January 2019  World share in 20211      RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  82.3%    51.8%    10.8%    64.5%

International      1.9%      21.3%    10.6%    5.5%      62.3%

Domestic             27.5%    19.4%    15.7%    1.8%      57.6%

Russia-Ukraine Conflict

January figures do not include any impact from the Russia-Ukraine conflict which began at the end of February. The resulting sanctions and airspace closures are expected to have a negative impact on travel, primarily among neighboring countries.

The Ukraine market accounted for 3.3% of European passenger traffic and 0.8% of global traffic in 2021.

 The Russian international market represented 5.7% of European traffic (excluding Russia domestic market) and 1.3% of global traffic in 2021.

 Airspace closures have led to rerouting or cancellations of flights on some routes, mostly in the Europe-Asia but also in Asia-North America market. This impact is mitigated owing to greatly diminished flight activity since borders in Asia were largely closed owing to COVID-19. In 2021, RPKs flown between Asia-North America and Asia-Europe accounted for 3.0%, and 4.5%, respectively, of global international RPKs.

In addition to these disruptions, the sudden spike in fuel prices is putting pressure on airline costs. “When we made our most recent industry financial forecast last autumn, we expected the airline industry to lose $11.6 billion in 2022 with jet fuel at $78/barrel and fuel accounting for 20% of costs. As of 4 March, jet fuel is trading at over $140/barrel. Absorbing such a massive hit on costs just as the industry is struggling to cut losses as it emerges from the two-year COVID-19 crisis is a huge challenge. If the jet fuel price stays that high, then over time, it is reasonable to expect that it will be reflected in airline yields,” said Walsh.

Geneva – The International Air Transport Association (IATA) released data for global air cargo markets showing slower growth in January 2022. Supply chain disruptions and capacity constraints, as well as a deterioration in economic conditions for the sector dampened demand.

Note: We are returning to year-on-year traffic comparisons, instead of comparisons with the 2019 period, unless otherwise noted. Cargo demand is tracking above pre-COVID-19 levels, although capacity is still constrained.

Global demand, measured in cargo tonne-kilometers (CTKs*), was up 2.7% compared to January 2021 (3.2% for international operations). This was significantly lower than the 9.3% growth seen in December 2021 (11.1% for international operations).

Capacity was 11.4% above January 2021 (10.8% for international operations). While this is in positive territory, compared to pre-COVID-19 levels, capacity remains constrained, 8.9% below January 2019 levels.  

Supply chain disruptions as well as a deterioration in economic conditions for the sector are slowing growth. Several factors should be noted:

Supply chain disruptions resulted from flight cancellations due to labor shortages, winter weather and to a lesser extent the deployment of 5G in the USA, as well as the zero-COVID policy in mainland China and Hong Kong.

The Purchasing Managers’ Index (PMI) indicator tracking global new export orders fell below the 50-mark in January for the first time since August 2020, indicating that a majority of surveyed businesses reported a fall in new export orders.

The January global Supplier Delivery Time Purchasing Managers Index (PMI) was at 37.8. While values below 50 are normally favorable for air cargo, in current conditions it points to delivery times lengthening because of supply bottlenecks.

The inventory-to-sales ratio remains low. This is positive for air cargo as it means manufacturers may turn to air cargo to rapidly meet demand.

“Demand growth of 2.7% in January was below expectation, following the 9.3% recorded in December. This likely reflects a shift towards the more normal growth rate of 4.9% expected for this year. Looking ahead, however, we can expect cargo markets to be impacted by the Russia-Ukraine conflict. Sanction-related shifts in manufacturing and economic activity, rising oil prices and geopolitical uncertainty are converging. Capacity is expected to come under greater pressure and rates are likely to rise. To what extent, however, it is still too early to predict,” said Willie Walsh, IATA’s Director General.  

Russia Ukraine Conflict

The Russia Ukraine conflict will have a negative impact on air cargo. Airspace closures will stop direct connectivity to many markets connected to Russia. Overall, the impact on global markets is expected to be low as cargo carried to/from/within Russia accounted for just 0.6% of the global cargo carried by air in 2021. Several specialized cargo carriers are registered in Russia and Ukraine, particularly those involved with heavy lift operations.

January 2022 (% year-on-year)  World share1     CTK        ACTK     CLF (%-pt)2         CLF (level)3

Total Market      100.0%  2.7%      11.4%    -4.6%     54.1%

Africa    1.9%      12.4%    13.0%    -0.3%     49.2%

Asia Pacific          32.4%    4.9%      11.4%    -3.7%     60.9%

Europe 22.9%    7.0%      18.8%    -6.5%     58.4%

Latin America     2.2%      11.9%    12.9%    -0.4%     41.7%

Middle East        13.4%    -4.6%     6.2%      -5.8%     51.3%

North America  27.2%    -1.2%     8.7%      -4.7%     47.4%

1 % of industry CTKs in 2021  2 Change in load factor   3 Load factor level

January Regional Performance

•             Asia-Pacific airlines saw their air cargo volumes increase 4.9% in January 2022 compared to the same month in 2021. This was significantly below the previous month’s 12.0% expansion. Available capacity in the region was up 11.4% compared to January 2021, however it remains heavily constrained compared to pre-COVID-19 levels, down 15.4% compared to 2019. The zero-COVID policy in mainland China and Hong Kong is impacting performance. Preparations for the Lunar New Year holiday may have also had an impact on volumes, but it is difficult to isolate.

•             North American carriers posted a 1.2% decrease in cargo volumes in January 2022 compared to January 2021. This was significantly below December’s performance (7.7%). Supply chain congestion due to labor shortages, severe winter weather and issues with the deployment of 5G as well as a rise in inflation and weaker economic conditions affected growth. Capacity was up 8.7% compared to January 2021.

•             European carriers saw a 7.0% increase in cargo volumes in January 2022 compared to the same month in 2021. While this was slower than the previous month (10.6%), Europe was more resilient than most other regions. European carriers benefited from robust economic activity and an easing in capacity. Capacity was up 18.8% in January 2022 compared to January 2021, and down 8.1% compared to pre-crisis levels (2019).

•             Middle Eastern carriers experienced a 4.6% decrease in cargo volumes in January 2022. This was the weakest performance of all regions and a drop in performance compared to the previous month (2.2%). This was due to a deterioration in traffic on several key routes such as Middle East-Asia, and Middle East-North America. Capacity was up 6.2% compared to January 2021 but remains constrained compared to pre-COVID-19 levels, down 11.8% compared to the same month in 2019. 

•             Latin American carriers reported an increase of 11.9% in cargo volumes in January 2022 compared to the 2021 period. This was a decline from the previous month’s performance (19.4%). Capacity in January was down 12.9% compared to the same month in 2021 and remains well below compared to pre-COVID-19 levels, down 28.9% versus 2019.

•             African airlines’ saw cargo volumes increase by 12.4% in January 2022 compared to January 2021. The region was the strongest performer. Capacity was 13.0% above January 2021 levels.

By Rebecca Jeffrey

Surcharge are being increased as supply chain disruption due to the Ukraine invasion continues.

From March 7, FedEx Express is introducing increasing its peak surcharges on FedEx Express parcel and freight shipments and TNT shipments for some shipments moving between Asia Pacific (APAC) and countries in APAC, Europe, Latin America and the Caribbean (LAC), and Middle East, Indian subcontinent and Africa (MEISA).

The increases apply to some shipments moving between Europe and countries in all regions; and some shipments moving between India and countries in APAC, Europe, and MEISA.

“Due to continued disruptions in the global supply chain, air cargo capacity remains limited. We are incurring incremental costs as we continue to adjust our international networks and operate in this constrained environment,” said FedEx.

Express logistics firm UPS also increased the peak/demand surcharges applied to shipments from major Asia Pacific origins (excluding China, Hong Kong SAR or Macau SAR) to 19 countries in Europe on February 27, until further notice.

DHL Express has not announced any new charges, but said on its website: “We have temporarily suspended DHL Express shipments to and from Ukraine, Belarus and for inbound shipments to Russia.”

Forwarder Scan Global Logistics, which has temporarily suspended bookings to/from Russia and Belarus from 4-18 March, also said in a release: “Cargolux has introduced a war surcharge of USD 0.20/kg from cargo to and from Asia.”

When asked to confirm the war surcharge, Cargolux told Air Cargo News that it has not released an “official statement”.

SGL added that “fuel Surcharge increases are starting to be announced by numerous airlines” as oil prices rise.

Last week, freight forwarders warned of higher supply chain costs as the impact of the invasion of Ukraine disrupts transportation operations.

Airspace restrictions have been imposed by Russia, the UK, Canada, the, EU and US.

by MGI

Empat perusahaan ekspedisi (airfreight forwarder) terkemuka global baru saja mengumumkan penangguhan layanan ke Rusia. Langkah itu dilakukan menyusul adanya sanksi ekonomi yang diberikan oleh sejumlah negara sebagai akibat dari invasi Rusia ke Ukraina.

Menurut laporan Air Cargo News London keempat airfreight forwarder yang baru saja mengambil keputusan tersebut adalah Kuehne+Nagel, DSV, DB Schenker, dan DHL.

Dalam edaran yang ditujukan kepada customer-nya, Kuehne+Nagel mengatakan bahwa sebagian besar operator angkutan darat, laut, dan udara telah menghentikan layanan ke Rusia. Akibatnya, pengirim telah menangguhkan semua pengiriman impor ke negara tersebut sambil menunggu pemberitahuan lebih lanjut, kecuali untuk obat-obatan, peralatan kesehatan, dan bantuan kemanusiaan.

“Semua barang yang dipesan sebelumnya dan saat ini masih dalam perjalanan akan ditangani sebaik dan semaksimal mungkin,” kata Kuehne+Nagel dalam edaran tersebut.

Hal yang sama diumumkan forwarder Denmark DSV. Dalam edarannya baru-baru ini, DSV juga menyampaikan akan menangguhkan sementara semua pengiriman ke Rusia dan Belarus.

“Ini berlaku untuk semua jenis transportasi, baik darat, udara, maupun laut,” kata perusahaan yang bermarkas di Kopenhagen tersebut.

“Ini artinya, DSV tidak menerima pemesanan baru ke negara-negara ini dengan pengecualian obat-obatan, peralatan kesehatan,  dan bantuan kemanusiaan. Semua barang yang dipesan sebelumnya dan saat ini masih dalam perjalanan akan ditangani sebaik dan semaksimal mungkin,” kata DSV dalam pernyataannya.

Hal yang sama diumumkan DB Schenker. “Kami telah memutuskan untuk menangguhkan sementara semua pengiriman ke dan dari Rusia. Ini berlaku untuk transportasi darat, udara dan laut,” kata DB Schenker.

DHL bahakan sudah lebih dahulu melakukan hal tersebut. Perusahaan yang didirikan di AS namun diakusisi Deutsche Post  Jerman pada tahun 1998 tersebut mengatakan bahwa layanan masuk ke Rusia dan Belarusia telah ditangguhkan dan tidak akan menerima pengiriman ke negara-negara tersebut sampai pemberitahuan lebih lanjut.

“Kami memantau situasi dengan cermat dan kami akan terus memberi tahu perkembangan lebih lanjut,” kata DHL dalam keterangannya.

By Donny Kwok and Anne Marie Roantree

COVID-19 outbreak in Hong Kong

A patient and her relative wearing personal protective equipment (PPE) wait outside the Accident and Emergency (A&E) department, following the coronavirus disease (COVID-19) outbreak, in Hong Kong, China March 4, 2022. REUTERS/Tyrone Siu

HONG KONG, March 5 (Reuters) – Hong Kong reported 37,529 new coronavirus infections on Saturday and 150 deaths, as the city clings to a “zero-COVID” strategy despite spiralling cases that have spread through care homes and overwhelmed healthcare facilities.

Many supermarket shelves were bare again on Saturday even as the government said there was plenty of fresh food supplies from the mainland and the public should not over-purchase.

Two of the city’s largest consumer retail chains started rationing some food and drug items on Friday to curb panic buying amid fears of a citywide lockdown. read more

Hong Kong leader Carrie Lam has said there will not be a “complete lockdown” although many residents are unnerved and frustrated by what they see as mixed messages and policy tweaks on an almost daily basis.

Health authorities said on Saturday more than 900 care homes have been infected. The latest tally of 37,529 cases is down from 52,523 on Friday. This compares with about 100 infections at the start of February and a clean three-month streak of zero cases before the end of December.

As cases hit record highs, Hong Kong now has its most stringent restrictions in place since the pandemic started, with group gatherings limited to two people, masks compulsory and gyms, cinemas and most public venues closed. Flights into the city from nine countries are banned.

Government expert adviser Professor David Hui said on Saturday he believes around 15% of Hong Kong’s 7.4 million people are already infected with COVID-19, broadcaster RTHK reported.