Due to a sharp increase in shipping costs, the stock price of Danish shipping giant Maersk surged by over 7% on May 13th, and several Chinese shipping companies have also seen significant increases in stock prices recently. Industry insiders say that the Red Sea situation has had a significant impact on the global logistics industry. At the same time, economic recovery is driving up trade demand, and not only shipping, but also the air transportation industry is expected to see double-digit growth rates compared to last year.
Maersk stated that the disruption of container ship transportation in the Red Sea region is intensifying, and it is expected that the transportation capacity between the Far East and Europe will decrease by 15% to 20% in the second quarter of this year. Further offshore waters are also being attacked, which will further prolong sailing time and increase freight rates.
In recent months, due to the ongoing tense situation in the Red Sea, many international shipping companies, including Maersk, have been forced to abandon their Red Sea routes and switch to African routes, with ships bypassing the southwestern tip of the African continent's Cape of Good Hope.
The latest "Monthly Air Cargo Report" released by global logistics service provider DHL Express also pointed out that the tense situation in the Red Sea has to some extent stimulated the demand for air cargo, and the cargo volume has achieved double-digit growth for four consecutive months.
Although the geopolitical situation has affected logistics costs, the rebound in trade demand in the context of global economic recovery will support the prosperity of the logistics industry. According to a report released by DHL, in April, the global air cargo market continued to show a positive upward trend due to the capacity demand and freight growth brought about by the Asian route e-commerce business.
The report points out that global air cargo demand increased by 6% year-on-year in that month. The JPMorgan Global Purchasing Managers Index (PMI) has recently reached its highest level since July 2022, and the economic situation continues to improve. DHL predicts that compared to last summer, the belly cabin capacity of wide body aircraft in the Asia Pacific region may achieve double-digit growth.
The report specifically points out that Hong Kong International Airport's cargo volume increased by 3.3% in 2023, with a total throughput of 4.3 million tons, continuing to maintain its position as the world's busiest cargo airport. In order to cope with the constantly growing freight volume, Hong Kong International Airport continues to invest in the high-value and rapidly growing e-commerce sector. Last year, Cainiao Smart Port was completed at Hong Kong International Airport, and DHL's Central Asian hub in Hong Kong was also expanded, increasing transportation capacity by 50%. Since the establishment of the Central Asian hub in 2004, DHL's cumulative investment in the Central Asian hub has reached 562 million euros.