The capability to transport goods swiftly, securely, and cost-effectively is essential for many businesses, especially in this global environment. Air freight may come with a higher cost compared to other transportation methods, it is often the preferred choice for time-sensitive, oversized, or high-value shipments. Air cargo provides a fast and reliable means of moving products globally.
It is vital to comprehend the different types of air cargo, the factors that influence shipping rates, and the specific requirements associated with your particular cargo type. Understanding these elements can help businesses make informed decisions, optimize their shipping strategies, and choose the right provider for their needs.
Making Informed Air Cargo Decisions
Shipping rates depend on three main factors, starting with the type of cargo being transported and the requirements around that cargo. The second factor is the speed in which a shipment needs to reach its destination. Obviously, the more the urgent a shipment is, the higher the shipping costs. And the final key factor is the shipping route, where a shipment begins and its intended destination. There can also be many industry trends and patterns that can be factored in or proactively expected.
For instance, Q4 historically tends to present more market constraints, where capacity limitations and higher costs are to be expected, especially within the ecommerce supply chains. This year, we saw an early spike in rates with a shift in ocean to air at the start of the ILA strike and a jump in volumes ahead of China’s Golden Week at the start of the month. Air cargo spot rates rose to new 2024 highs in early October, but Freightos Air Index data shows that transpacific air cargo rates have already fallen back down while remaining slightly elevated overall.
Finding the right logistics team for your air cargo needs would provide you with market intelligence to keep you informed on current trends, supply chain disruptions, and other factors that may influence rates as well as providing the excellent customer service needed to ensure adequate inventories and timely customer deliveries. It is also crucial that they understand the specific requirements needed for your type of cargo. To start, let’s explore the main types of air cargo.
5 Main Types of Air Cargo Freight
Air cargo freight can be categorized into several types based on various factors such as the nature of the goods being transported, the urgency of delivery, and the logistics involved. Here are some of the main types:
- General Cargo: This includes a wide range of goods that do not require special handling or conditions and typically consists of non-perishable items like clothing, electronics, furniture, and machinery.
- Specialized Cargo: Specialized cargo covers multiple sub-categories that require special handling, such as Perishable Goods, like food products, pharmaceuticals, fresh fish, and cut flowers that have environmental control requirements; Dangerous Goods that require specialized hazardous materials handling and packaging, including chemicals, explosives, and flammable goods; and Valuable Cargo, which refers to high-value items like jewelry, artwork, and electronics, that require additional security measures
- Express Freight: Cargo that involves expedited shipping services, ensuring faster delivery times for urgent shipments or to mitigate supply chain disruptions; often used for time-sensitive documents, manufacturing parts, and small packages.
- Project Cargo: Large-scale or complex cargo shipments that require careful planning and coordination, such as industrial equipment or construction materials, and may include Heavy Cargo that often exceeds standard size or weight limits and requires special arrangements for transportation.
- Live Animals: The transportation of live animals that requires special handling and care to ensure the safety and well-being of the animals during transit.
At TOC Logistics, we offer a wide variety of Air Cargo services, but typically focus on freight forwarding where we organize shipments on behalf of shippers, managing the logistics and documentation. Through our Direct and Buyer Consolidation Networks, we manage Cargo Consolidation, combining multiple smaller shipments as containerized cargo to optimize container utilization for our customers. We also have a comprehensive Time-Critical and Expedites team, in collaboration with our sister company, ProTrans International, to handle Express freight or Air Charter to, from, or within North America. Reach out today for your air cargo needs.