DSV expects airfreight market to remain challenging for the foreseeable future

DSV stated (29-Oct-2020) the airfreight market remains significantly impacted by the COVID-19 crisis, with market volumes still down 15% to 20% year-on-year. Most passenger aircraft are grounded and total available capacity is down more than 20% compared to pre COVID-19 levels. Demand for airfreight exceeds capacity on most trade lanes, leading to higher than normal freight rates. DSV expects the airfreight market will remain challenging for the foreseeable future. The company stated it may take two or three years for intercontinental passenger traffic to return to 2019 levels, meaning the cargo market will continue to rely on freighter aircraft capacity. DSV said current demand is strongest for exports from Asia, while other trade lanes are also picking up. The company expects a COVID-19 vaccine, once ready for distribution, to create further pressure on the airfreight market. [more - original PR]