SPRINGFIELD GARDEN, NY – Shipping cycles in the Asia-Pacific are following traditional cycles, a major logistics provider said last week.

Trans Global Logistics reports demand is following predictable patterns, with the May-June period typically the low point for air-freight.

Demand for oil coupled with severe weather conditions is influencing shipping decisions, Trans Global said. Growing global demand for oil continues to put upward pressure on fuel surcharges, while powerful monsoons have hammered southeastern Bangladesh, causing operations at the Chittagong port yard to be temporarily suspended. Cargo receiving and loading has resumed in off-dock areas, but there have been many vessel delays, the company says.

Inflation worries are also influencing shipping decisions. The rupee has appreciated approximately 12% against the U.S. dollar, causing an increase in surcharges for x-ray and other inspections. Rising inflation in China and a strengthening yuan are putting pressure on shippers to maximize ocean transportation use. The impact of shifting manufacturing capacity from Japan and Korea to China has dampened demand for airlift in these traditional markets, says Trans Global.
 
 

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