Airfreight is certainly expensive in this Covid era. Probably 100% higher than pre-covid. Capacity is also a challenge as most of shipments would have been sent using passenger aircraft and obviously there's been a huge decrease in flights to China (globally of course). In conjunction with airfreight increases there has been substantial increases during the same period with seafreight. Seafreight rates over the last 12-18 months to various continents would have seen increases between 100%-300%. A contributing factor to these huge increases is that they were coming off very low historical bases. Lets assume a lead time for airfreight (from product release to market) of 7-10 days. Compare that to seafreight which could be between 30-50 days. The product needs to be on the shelf or in stock in the DCs. Airfreight is critical component of the overall logistics program especially if the consumers are needing supply. That could be the case here.....
A2M Price at posting:
$4.16 Sentiment: Hold Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)