air-cargo

AI Hardware Demand Propels Air Cargo to Unexpected Heights in June

Air cargo volumes surged 7% year-on-year in June, defying forecasts of a tepid market. Semiconductor and AI equipment shipments drove exceptional growth. Capacity expanded 3% with Middle East operations continuing their recovery, while load factors improved three percentage points to 62%. Spot rates held steady at $3.40 per kg compared to May but remain 38% higher annually, though the year-on-year gain moderated from May's 41% increase. AI hardware, representing less than 10% of total air cargo volume, has emerged as the primary growth engine replacing declining e-commerce traffic. Semiconductor shipments nearly doubled in April, up 106%, marking the strongest annual growth since tracking began in 1986. Taiwan and South Korea account for most volumes. The transpacific corridor strengthened as the year's leading freight route despite weakening China-US lanes. First-half demand growth reached 4%, exceeding industry expectations.