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Tianjin blast increases air freight demand

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Intra-Asia supply chains are beginning to face disruption,following last week’s blasts at the port of Tianjin. Many companies are turning to air freight, in spite of its higher cost, in order to be able to move their freight out of China. Air charters in the Tianjin region are seeing a rise in demand.

Factories in China and Japan which use the parts made in the area are turning to other sources of supply.
There is already considerable air freight capacity on major routes.

Similarly, one feeder shipping line representative said: “Some of the outside freight depots were badly destroyed by this explosion – especially two big depots named Jinshi and Malun. A lot of shipping companies who cooperate with them are also suffering badly, such as Maersk, Wan Hai and Evergreen, but the specific loss need time to be confirmed, as mentioned, those areas are still prohibited to entry.”