(Aug 18, 2020) - Maintenance schedules of freighter aircrafts have immediately led to a supply reduction in the airfreight market. These maintenance schedules from airlines come into effect as the utilization of aircrafts (block hours per day) was significantly increased during the first half of 2020. The additional flights and operating hours were required to provide capacity in the first weeks and months of the COVID-19 pandemic as many passenger flights got cancelled causing an immediate shortfall in supply. The airlines are preparing themselves with the current maintenance schedules for the upcoming peak season in which a shortage in capacity supply is expected and forecasted. How critical airfreight supply is currently was already immediately observed as rates were increasing on major trades due to the freighter capacity shortfall. In addition to the already tight capacity situation the demand for medical equipment (e.g. personal protective equipment = PPE) remains volatile as the COVID-19 pandemic impacts vary strongly from region to region and country by country and a potential demand due to second or third wave cannot be forecasted. Therefore, an even more advanced and detailed planning for the peak season is required to ensure capacity access!
➢ We kindly request for your support on a close collaboration to ensure we plan for a smooth and peak season and work hand in hand between your local DB Schenker team and yourself during this critical time to keep supply chains stable. It is our ambition to be your provider of choice for your airfreight transportation and to offer you a capacity situation that enables your business to be successful.
Our console charter flight schedule now includes the following flight operations:
➢ Europe – China – Europe: 3 flights per week (B747-400F)
➢ Hongkong – Europe: 2 flights per week (B747-400F)
➢ China – USA: 3 flights per week (B747-400F)
➢ Europe – USA – Europe: 3 flights per week (MD11F and B747-400F)
➢ USA – Australia: 1 flight per week (B777F)
➢ Europe – India – Europe: 1 flight per week (B747-400F)
(Aug 18, 2020) - All offices remain in full operation with access to terminal handling and ground transportation. All our European hubs deliver import and receive export freight with no backlogs recorded towards the weekend. Operationally, our linehauls to and from the hubs are running as scheduled. In some areas, our cross-border trucks might experience some minor delays.
➢ Contact your local DB Schenker Account Manager on priority routes for PPE.
(Aug 18, 2020) - Tight controls remain in several APAC countries due to resurgence of infection rates. We remain vigilant in monitoring the situation, to mitigate events with potential impact to operations.
(Aug 4, 2020) - Australia, State of Victoria is under Stage 4 (highest level) lockdown in the city (Stage 3 restrictions for non-essential movement for rest of Victoria) w.e.f. midnight Aug 5. The Philippines authorities will transition to General Community Quarantine (GCQ) measures in the National Capital Region (NCR), as well as Bulacan, Cavite, Laguna and Rizal provinces from August 4 to 19 to 31. Similar reinstatement / extension of restrictions is also seen in Indonesia, several prefectures in Japan and some parts of Vietnam. Movement restrictions generally may cause some delays, albeit no significant impact to our operational status.
Though resurging COVID-19 infections are evident in some countries across APAC, our air freight operations remain stable and available to support customer needs. Delays are expected in customs clearance and transportation as lockdowns in some countries affect availability of workforce, including ports, airports, etc. Alternatives to move / transport cargo via other gateways / routes are established. Customers may contact the respective DB Schenker representatives for support or solutions should it be required.
APAC countries are opening with the majority allowing manufacturing activities. Congestion in Greater China remains, albeit improving gradually. Capacity is expected to remain volatile.
➢ We have put additional charter programs (such as for Intra-Asia SG – IN and others) in place. Do get in touch with your DB Schenker Account Managers for further details.
(Aug 18, 2020) - Overall, the air freight operations in the countries remain uninterrupted even as Oman, Kenya, and South Africa slip into partial curfew. We continue to serve our customers. Our regional and global preferred carriers are seen to gradually increase the frequency of passenger cargo flights. For more information, get in touch with your DB Schenker Account Manager.
No operational restrictions for air cargo business
Qatar, Kenya, Oman, South Africa, Bahrain, Saudi Arabia, UAE, Egypt
Restrictions for operational air cargo business
➢ Please contact your DB Schenker Account Manager for more information on additional routes.
(Aug 18, 2020) - There are no significant changes.
South America to other regions: Services continue but with some minor flight scheduling disruptions / delays, which are more pronounced into Peru, Chile and Bolivia as noted.
(Aug 4, 2020) - USA – China
➢ Sufficient capacity for USA exports to key destinations in China. Large number inbound scheduled freighter flights and charters continue supporting USA exports providing capacity to meet demands on the return leg.
➢ Rate levels are relatively low but remain above pre-COVID-19 levels.
USA – Asia (excluding China)
➢ Destinations with tight capacity continue to be Australia and India from all USA origins. Korea and Singapore with tight capacity and some backlogs from the USA eastern gateway cities of JFK, ATL and MIA. Market pricing moderating from prior highs, but still well above pre-COVID-19 levels.
➢ Flight operations via the DB Schenker Euro Hub in FRA to BOM and Part Charter capacity from ORD – SYD are supporting these high demand destinations.
USA – Europe
➢ Market demand is moderate with sufficient capacity to avoid backlogs. Market pricing has moved downwards, but as countries begin to reopen, the possibilities of renewed demand with accompanying upward pricing pressures is possible.
➢ DB Schenker maintaining round trip freighter Flight Operations: 3 x week ex ORD & ATL to FRA and back.
USA – Latin Am / Latin Am to Europe and APAC
➢ Intra-Americas: Market demand is moderate with sufficient freighter capacity to most destinations from the USA to Latin Am. Exceptions being to and from Peru and Bolivia where capacity is tight. Market pricing trending higher for North America to Brazil, Peru, Bolivia, Argentina and most Central American countries.
➢ South America exports to other regions: Sufficient capacity but market pricing trending much higher. Some passenger flights are returning, however far from previous frequencies and not providing much additional capacity. The principle carriers for the region have declared chapter 11 bankruptcy (re-organizing). Services continue but with some minor flight scheduling disruptions / delays.