Data Center Demand Restores Air Freight Pressure After Golden Week Dip
The air freight index fell 2.1% in the week ending October 12 following the "Golden Week" holiday, but remained 24.3% higher than its level a year ago amid strong demand from data centers.
The global TAC Air Freight Index fell 2.1% in the week ending October 12, impacted by factory closures in China during the "Golden Week" holiday, according to The Loadstar magazine citing TAC Index. Despite the decline, the index remained 24.3% higher than its level a year ago.
Artificial intelligence infrastructure operators continue to seek capacity during the peak season amid growing demand for servers, chips, and data center equipment, which could drive prices sharply higher, according to the source.
In the same context, Cathay Cargo's long-haul fuel surcharge from Hong Kong rose by about 26% in the first half of October, while Japan Airlines raised its export surcharge to the Americas and Europe on October 16.
This combination indicates that the market may face peak-season pressure, which matters to regional exporters who rely on air freight to transport perishable or high-value goods.
What Do These Terms Mean?
Golden Week: A week-long national holiday in China during which factories close, temporarily reducing freight traffic.
TAC Index: An index measuring air freight rates on major global routes, published by the company TAC Index.
Fuel Surcharge: An additional fee charged by airlines to offset the rising cost of jet fuel, varying based on oil prices and route.
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