Air Freight Seeing Highs with Continued Boost From E-Commerce Demand
E-commerce channels have helped put a boost in air cargo volumes, as their consumer base continues creating a new hot hand for the air cargo industry. International overall air cargo tonnage handled by airports in the Asia-Pacific region, were up around 14% from January through July this year.
The immense volume of sales generated by Chinese retail platforms like Temu, Shein, etc., which are tapping into a rapidly growing consumer base, is transforming the air cargo industry. This shift is moving the industry away from its traditional seasonal patterns towards a constant peak season.
Industry estimates indicate that e-commerce constitutes 20% of global air freight volume, with shipments from China alone being sufficient to fill 50 to 80 freighter aircraft daily.
Work Stoppage in Canada Likely as Involved Parties Issue Strike, Worker Lockout Notices
A work stoppage in Canada is imminent, starting tomorrow just after midnight, as CN/CPKC railways and TCRC issued worker lockout and strike notices, respectively.
This has prompted CN and CPKC to start halting operations in anticipation for what seems to be a likely strike/lockout. According to the JOC, CN has stopped accepting intermodal shipments, as CPKC halts intermodal business starting Tuesday August 20th. Furthermore, U.S. Class I railroads are pausing all cargo destined for Canada until further notice. Important to note that those who ship using CPKC / CN outside of Canada will not see issues with service. As the JOC notes, the Mexico Midwest Express – a CPKC train between Mexico and Chicago, will run normally as no Canadian crews operate that train.
Yesterday, as Freightwaves reports, the Canada Labor Minister was set to meet with TCRC and CN / CPKC officials in an effort to get the parties to come to a new labor agreement.