International air cargo volumes soared in 2004

By James A. Cooke -- Logistics Management, 8/1/2005

ATLANTA—International airfreight shipments moving to and from the United States soared last year, with both tonnage and value posting double-digit gains over figures for 2003, according to The Colography Group. The Atlanta-based research firm reported news about airfreight growth in its annual "International Air Cargo Trends" report.

The total tonnage of U.S. air exports in 2004 reached 5.8 billion pounds, an increase of 10.8 percent over the previous year, while air imports totaled 9.2 billion pounds, an 11.6-percent increase. The value of U.S. air export shipments amounted to $235.7 billion, a 12.3-percent hike compared to 2003. The value of air imports, meanwhile, hit $346.5 billion, representing a 12.7-percent increase.

Australia/Oceania emerged as the fastest-growing destination region for U.S. air exports, with a 34-percent gain in tonnage. The fastest-growing individual country destination for U.S. air exports was on the other side of the world, where Venezuela recorded tonnage gains of 52.8 percent. (The report notes that increase was compared to a very small 2003 base.) Venezuela was followed by South Africa, Australia, and China. China also generated the largest amount of tonnage among the top 10 air export markets.

As for imports, Asia remained the fastest-growing point of origin as tonnage from that region rose 16.5 percent. Import gains were paced by China, where tonnage to the United States grew 31.1 percent.

Three major air express carriers—UPS, FedEx Express, and DHL Express—ruled the U.S. air export market, with a combined market share of 68.6 percent. Interestingly, The Colography Group noted, airlines, freight forwarders, and the U.S. Postal Service saw export tonnage and shipment volumes rise at a faster rate than did the integrated carriers. The integrators, however, grew their revenues at a faster rate.

"Our data confirms that 2004 was a stellar year for U.S. international air freight, certainly the best year since 2000," said Ted Scherck, president of the Colography Group, in a statement.

"Air freight benefited from a robust replenishment of inventories due to improving demand, and a shift in modal usage from vessel as shippers and consignees sought to avoid the delays caused by ongoing congestion at U.S. West Coast ports," he added. "Air exports were further aided by the effect of the U.S. dollar's decline."

Scherck believes that international airfreight will continue to fly high. "We gauge the industry's health not by monthly or quarterly blips, but by trends identified over many years," he said. "Internationally, the long-term trend has been, is, and—in our view—continues to be up."