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AI Hardware Demand Fuels Transpacific Air Cargo Surge as Europe Route Stumbles

Asia's air cargo export market is splitting into two speeds heading into peak season. Artificial intelligence infrastructure is driving transpacific demand while European routes face headwinds from new import duties. Taiwan's export orders reached $97.79 billion in August, the largest monthly increase on record, fueled by server orders and cooling equipment for data-centre construction. Combined China and Hong Kong air cargo volumes to the United States rose 13 percent year-over-year in August, according to WorldACD data. The Hong Kong-Europe lane contracted sharply, declining 30 percent year-over-year following the European Union's elimination of its €150 de minimis duty exemption on July 1 and introduction of a €3 charge on low-value imports. Spot rates on the China-Hong Kong to Europe route fell to around $5 per kilogram, with year-over-year premiums narrowing to 11 percent from 32 percent in May. Transpacific rates remained elevated at $6.89 per kilogram in August, up 26 percent annually despite an 11 percent monthly decline.