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COVID-19 pandemic: Impact on operational processing in the USA

As can already be seen from various press releases, the US authorities have enforced a ban with effect from 13 March 2020, 23:59 h, which prevents all entries from Europe into the United States, in addition to the already existing entry ban for visitors from several Asian countries.

This leads to a large number of flight cancellations on routes between Europe and the United States. However, the affected passenger routes also represent a significant portion of the available cargo capacity and therefore there is a massive impact on available cargo space and freight rates.

Our team of experts continues to work hard on alternative options and routes that will allow us to carry urgent cargo and we are committed to providing our customers with priority access to available capacity. As with the successful implementation of our charter program between China and Germany, we are now exploring similar solutions for transportation between Germany and the USA.

Our teams around the world will stay in touch with you, but please do not hesitate to get in touch with your contact at the respective DACHSER branch to discuss your particular situation and make further arrangements for your freight shipments.

DACHSER worldwide
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Contact Katrine Cheng
katrine.cheng@dachser.com

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Air freight market update | December 2021

Global pandemic measures as well as continuing high demand have a strong impact on the air freight market. This is reflected in reduced cargo capacities due to restricted and partly suspended passenger flight connections, congested airports, handling facilities and employees.

  • Review 2021

The increase in air freight demand since the beginning of the year cannot be satisfied with the current air freight capacities. Though, a slight improvement is noticeable. 
 
All major airports worldwide have been congested resulting in huge backlog volumes and long waiting times. However, with secured premium capacities on its own weekly charter rotations between Asia, Europe and the US, as well as long-term freight allotments on regular airline services worldwide, DACHSER continued to be a reliable partner also in the second year of the pandemic.
 
The increased demand for consumer goods, the huge growth in e-commerce, and the procurement of medical equipment due to COVID-19 led to an increased number of individual partial and full charter transports.

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  • Current Situation

Manufacturing and trading industries remain affected by congested supply chains. Therefore, the demand for air freight capacity is still increasing, in addition to the regular Peak Season during Christmas and Chinese New Year.

Hong Kong

Due to the strict quarantine policy in Hong Kong, some airlines have cancelled their flights before Christmas. The resulting shortage of ground handling staff is causing significant service restrictions at Hong Kong Airport.

Export shipments can currently only be delivered to the terminal within 24 hours prior to estimated departure. Shipments without booking record will not be accepted. There is also an overload situation in import and delays have to be expected.

Hong Kong Airport had already announced in early December that cargo aircraft touching Omicron high-risk countries such as South Africa would not be allowed into Hong Kong until further notice. This leads to a shortage of cargo space and delays due to flight re-routings.

Frankfurt / Germany

At Frankfurt Airport, there are also still some delays in handling, especially at Frankfurt Cargo Service (FCS). Export handling has been delayed, and import handling has been subject to extended waiting times. The warehouses at all handling agents are full, especially at FCS.

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  • Outlook 2022

The tense situation will remain throughout the first half of 2022, easing slightly after Chinese New Year. On the other hand, air freight capacity will increase only gradually, as belly capacity will remain low.

Due to the unpredictable course of the pandemic and a still unstable ocean freight market, leaves plenty of scope for the development of the air freight market in 2022.

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DACHSER is extending its own premium air freight services between Hong Kong and Europe in 2022 and beyond. With this extension, 100 additional cargo tons on weekly 747-400 freighter flights will extend the capacity on this route.

The premium freighter capacities from Asia (Hong Kong & Shanghai) to Europe and between Europe and the USA (rotation) are already an integral part of the DACHSER network for a long time now, and DACHSER is looking forward to continue providing this service to help secure customers' global supply chains.

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