Air freight prices decline as major trade routes experience a lackluster peak season.

The air cargo market is increasingly favoring shippers as demand softens, with a report from Xeneta indicating a 3% year-over-year decline in global air cargo spot rates to $2.58 per kilogram in October. While air cargo volumes rose by 4% YoY, this growth was outpaced by a 5% increase in supply, leading to subdued growth in key trade lanes. Challenges persist, with a notable 6% drop in Europe-North America demand and declining e-commerce shipments from China to the U.S. Amid these trends, further downward pressure on rates is expected, raising concerns for shippers about overall sales impact.