Due to flight disruptions in Europe there are massive increases in the cost of air freight out of Asia. Some news from Hong Kong.
- Courier companies have raised freight rates to Europe by 3-4 times (some over US$12 per kilogram).
- Cathay, Hong Kongs largest freighter operator, has suspended new bookings for EU shipments till next week.
- Similar stories out of our other offices with limited space and greatly inflated pricing leading to delays in shipments by air.
Expect air freight costs to remain higher for weeks to come. ODM are pushing clients to plan production and book orders early so that we can ship by sea wherever possible. Sea freight is so much greener, not to mention cheaper.