Current Impact Of COVID-19 On Air Cargo

What is the current impact of COVID-19 on Air Cargo?

With the Holiday season about to kick-off, import volumes are getting higher as retailers replenish inventory in expectation of this year’s seasonal wave builds.  The rapid growth of eCommerce and peak shipping season are contributing to record freight rates that are not expected to drop any time soon.  In addition, the sprint for a vaccine is also warming up, and its global rollout will be the next major challenge to our national supply chain stability.

Therefore, these factors along with high ocean rates and COVID-19 related delays are driving demand for air cargo and contributing to a continued increase in air freight rates.  For example, in October 2020 rates out of China have gone up on average and are now at about 40% of their May peak.  Do not expect the air cargo rates to descend since capacity is still constrained by a lack of passenger flights but are not expected to reach the extreme peaks seen before June.

Looking to reduce your overall transportation spend, gain visibility, and acquire supplier accountability?  At nVntori, our team has taken the time to build and established great relationships with our resources who will provide substantial savings while maintaining the same high level of customer service you expect.     

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nVntori is an applied technology services firm that partners and helps companies transform supply chain into a core business discipline. These are small to mid-size companies that are committed to and are focused on growth. That recognize to get better multiple returns, you must unlock the levers that accelerate growth.
nVntori focuses on operations and supply chain, we have partnered with the world’s top investors and executive leadership teams to transform businesses and drive enterprise value. We help them with the black box which is supply chain.
nVntori specializes in fortifying and streamlining supply chain operations for companies that have experienced challenges due to acquisition, reorganization, or consolidation. Whether you need consulting, process engineering, or full-scale operational management – nVntori has the proven ability to provide logistics solutions that will positively impact your company’s strength, efficiency, and profitability.
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