air-cargo

EU Customs Duty Triggers Sharp Drop in China-Europe Freighter Capacity

China-to-Europe freighter capacity has declined nearly 30% since June, driven by reduced e-commerce shipments following new EU import duties. E-commerce imports to Europe fell 24% in July compared to June, coinciding with the EU's July 1 introduction of a €3 customs duty on low-value parcels from outside the bloc. Direct freighter capacity initially dropped 10% and is now consistently 28% below June levels with no clear sign of recovery. E-commerce gateways absorbed the largest losses: Madrid capacity fell 78%, Budapest declined 58%, and Liege dropped 35%. Chinese hubs experienced comparable declines, with Ürümqi Tianshan down 72% and Hong Kong off 28%. Boeing 747-400F utilization fell 13%. While some traffic rerouted to transpacific lanes, overall global freighter utilization declined as capacity was not redeployed elsewhere. Historical precedent from U.S. and Brazilian policy changes suggests the e-commerce market could recover within 12 months.