📦 China: Mid-Autumn (25–27 Sep) + Golden Week (1–7 Oct)
Short gap between the two holidays → export rush, tighter ocean/air space, more blank sailings
Understanding the Recent Decline in China–Europe Air Freight Capacity
8/26/20261 min read
Current Status of China to Europe Air Freight
The air freight industry between China and Europe has experienced a significant shift in recent months. New data indicates a stark decrease of nearly 30% in freighter capacity as compared to levels recorded in June. This decline has posed challenges for businesses relying on the swift transfer of goods across continents.
Factors Contributing to Reduced Capacity
Several key factors have contributed to the reduced freighter capacity. First and foremost, the introduction of a €3 customs duty on low-value parcels effective from July 1st has led to a 24% drop in European e-commerce imports in July. This regulation appears to have impacted the flow of goods entering Europe, compelling companies to rethink their logistics strategies.
Moreover, the capacity for direct China–Europe freight services has seen a substantial decline, remaining approximately 28% below the levels seen in June. Despite such a worrying trend, there remains no clear indication of a recovery in the short to medium term.
Implications for the E-commerce Sector
The ramifications of this decline extend into the e-commerce sector, particularly within crucial gateways across Europe such as Madrid, Budapest, and Liege. These locations, along with certain origins in China, have recorded the largest capacity reductions, creating a challenging landscape for e-commerce operators who depend on timely deliveries.
Interestingly, even as volumes have weakened, rates on the most active China–Europe routes have begun to firm up. This may suggest an adjustment within the market as it copes with the current supply-demand imbalance, driving up charges despite decreasing volumes.
Monitoring and Adapting to Market Changes
At CityCargo, we remain vigilant in monitoring air capacity closely and continue to offer our agents a range of flexible logistics options, including ocean, air, and rail services from China. We believe that adapting swiftly to the changing dynamics of air freight is essential for maintaining operational efficiency and meeting customer expectations.
We invite fellow stakeholders to share current market insights as we navigate this evolving landscape together.
CITYCARGO (H.K) LIMITED
Unit 511A, Block A, Hung Hom Comm. Ctr., 37-39 Ma Tau Wai Road, Kowloon, Hong Kong