Why is air freight so expensive?
May 21, 2024
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1, High operating costs
The primary cost of air transportation comes from the purchase and maintenance of aircraft. As a high-tech product, airplanes are inherently expensive in cost. Moreover, in order to ensure flight safety, airlines must regularly maintain and inspect their aircraft, which requires significant financial investment. In addition, airlines also need to pay for the wages and benefits of crew members, as well as airport parking fees, takeoff and landing fees, etc. These high operating costs will ultimately be passed on to air freight costs.
2, Fuel cost
The cost of fuel is an indispensable part of air transportation. The fuel consumption rate of airplanes is much higher than that of ground transportation vehicles such as cars and trains, and fuel prices are usually higher. With the fluctuation of international oil prices, the proportion of fuel costs in the total cost of air transportation is also constantly changing. Especially when oil prices rise, the operating costs of airlines will significantly increase, leading to an increase in air freight costs.
3, Safety requirements and strict supervision
Air transportation has extremely high safety requirements, and airlines must comply with strict international aviation safety standards and regulations. In order to ensure flight safety, airlines need to conduct strict inspections and management of aircraft, crew members, cargo, etc. These safety requirements and strict regulations will increase the operating costs of airlines, thereby driving up air freight costs.
4, Scarce routes and flight resources
Compared to other modes of transportation, air freight routes and flight resources are relatively scarce. Due to the limited number and flight time of aircraft, airlines must arrange routes and flights reasonably to ensure the effective utilization of resources. During popular routes and busy periods, airlines may increase air freight costs to regulate market supply and demand. In addition, the air freight costs for some remote areas or special routes may also be higher due to the scarcity of routes and flight resources.
5, Market demand and competitive situation
Market demand and competitive conditions are important factors affecting air freight costs. When the market demand is strong, airlines may increase air freight costs to obtain higher profits. In a fiercely competitive market environment, airlines may reduce air freight costs to attract customers and seize market share. However, due to the particularity of the air freight market, competition among airlines is often limited, which results in air freight costs maintaining a relatively high level to a certain extent.
6, Special properties of goods
The special properties of certain goods may also result in higher air freight costs. For example, fragile, perishable, dangerous goods and other goods require special packaging and transportation methods, which will increase the operating costs of airlines. In addition, some high-value goods such as jewelry, artworks, etc. also require additional insurance and security measures, which will increase air freight costs.
