Air Freight: Shipping Charges, Rates, Cost & Quotes | Freightos (2024)

Air freight costs and international and express air freight rates per kg

Global importers and exporters use air cargo when they need to move goods around the world quickly and reliably. While 90% of imports and exports are shipped byocean freight, air freight connects the world faster, cutting China-USfreight shipping timefrom 20-30 days by ocean to only three days by air cargo.

International air freight and express freight shipments are not the same things.

Express air freightis typically handled by one company (such as DHL, UPS, or FedEx) that manages the entire shipment lifecycle and ships door-to-door in under five days. Express air freight shipments are usually smaller than air freight (less than one cubic meter and 200 kilograms).

International air freightshipments can be significantly larger and may move across multiple carriers during shipment. As a matter of fact, thelargest cargo airplane, the Anatov 225, can hold an entire train.

Pre-COVID-19, international air cargo rates typically ranged from approximately $2.50-$5.00 per kilogram, depending on the type of cargo and available space. Costs rose sharply in February 2020 when COVID-19 began a period of severe disruptions in ocean freight and consumer demand, with aircargo rates reaching a range of $4.00-$8.00 per kilogram. As of early 2023, rates have dropped to around $3.00-$7.00 per kilogram, which is still higher than pre-pandemic rates, likely due to increased fuel and labor costs.

How to calculate air freight cost

Looking to calculate your air freight cost? If you want a freight quote for your nextshipment, just enter your info toget an instant freight shipping quote below!

Air freight shipping prices and costs

When it comes to air freight shipping, weight and volume are key factors. Air carriers will charge by either volumetric weight (also known as dimensional weight) or actual weight, depending on which is more expensive.

To calculate volumetric weight for air shipping, multiply the item’s volume in cubic meters by 167. So, let’s say you have a package with the following measurements: W: 40cm, H: 40cm L:40. This means that the volume is .064 (the product of all sides divided by one million). Multiply this by 167 and you get a volumetric weight of 10.67 kg.

If thevolumetric weightexceeds theactual weightof the product, the volumetric weight becomes thechargeable weight. For light air shipments, you can use thischargeable weight calculatorto work out whether your shipment will be charged by actual weight or dimensional weight.

If you book freight on freightos.com, no need to calculate your chargeable weight – our platform calculates it automatically.

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The benefits of air freight

There are three main benefits to shipping by air:

  • Speed– Airplanes are about 30 times faster than ocean liners. Passenger jets cruise at 575 mph, while slow-steaming ocean liners move at 16-18 mph. That means an air freight shipment can take merely five days from a factory in China to a warehouse in the United States. Use thistransit time calculator, based on data from real recent shipments to get estimates of transit times for air shipping.
  • Reliability– Shipping by air provides better tracking and greater certainty that your goods will get to the right place at the right time.
  • Protection– Goods are more likely to be damaged when traveling by ocean freight shipping than by air shipping. This makes air freight a good option for fragile items.

When shouldn’t I ship by air?

Here are some of the drawbacks to shipping by air:

  • Cost– Air freight comes with a hefty price tag compared to ocean freight.Comparing air and ocean freight, a medium size 2000 lbs box from Shenzhen, China to Los Angeles, USA, can cost $1,500 by ocean but a whopping $8,000 or more by air. However, with price changes due to supply chain disruptions, this difference may be lower.
  • CO2 emissions– Air freight leads to far more emissions. For example, according toUK government research, 2 tons shipped for 5,000 kilometers by ocean will lead to 150 kg of CO2 emissions, compared to 6,605 kg of CO2 emissions by air. Definitely not the greenest way to ship.
  • Heavy shipments– Ever since the 1960s, freight shipping has revolved aroundshipping containers, which are great for shipping large, heavy items. Air freight is priced based on both size and weight, which can scale price very quickly.

What goods are generally shipped via air freight?

Since air cargo is expensive, it’s usually limited to smaller, high-value goods or time-sensitive items, such as:

  • Electronics. Steve Jobs famously purchased the entire available air freight capacity along key Asia-US routes to ship the first iMac prior to the holiday season.
  • Apparel. Seasonal trends in clothing can shift fast. As a result, companies generally need to move clothing from factories to stores as quickly as possible. Clothing’s small size and high value additionally make air freight a worthwhile expense.
  • Pharmaceuticals. Given their small size and value, medical goods are frequently shipped by air.
  • Documents and samples. DHL Global Forwarding actually got started byshipping ocean freight documentsby air to expedite release along a new West Coast-Hawaii ocean line. Air remains the most cost-effective method of shipping documents.
  • Seasonal shipments. Whatever the product is, if there’s high international demand for a product that requires bolstering down a supply chain, it will generally be shipped by air.

Air freight shipping rates & charges

Air Freight: Shipping Charges, Rates, Cost & Quotes | Freightos (1)

Beyond the expense of air freight, which is calculated based on the cost above, the total cost to ship by air will also likely include:

  • Fuel surcharges
  • Security surcharges
  • Container freight station/terminal handling charges
  • Airport transfers

In addition, for door-to-door costs, the price will also include air cargo services, including:

Are international air freight quotes and air freight prices changing?

International air freight usage was growing slowly, with less than 1% growth in 2015 among the world’s topfreight forwarders, according toTransport Intelligence. The International Air Transport Association (IATA) said that air freight growth only hit 1.6% in 2019, down from 5% in 2014.

One reason for this was increased reliance on ocean freight. However, with long delays and volatile transit times plaguing ocean freight, more importers and exporters moved to air cargo.

Since March 2020, air cargo rates have doubled, driven by constrained capacity, limited passenger travel due to restrictions, increased consumer demand, and other factors resulting from the pandemic. On the other hand, air passenger travel is stabilized, freeing up more belly cargo space. However, prices are still high, with importers and exporters often sticking with ocean freight if they can afford the time.

Most companies that import or export goods internationally still do everything in their power to take advantage of cheaper oceanfreight quotes, leaving only the most urgent shipments for air.

Do you need to know the airport code for, say, Shanghai-Pudong International Airport? Check out this handyAirport Code Finder. It’s PVG, by the way.

Air Freight: Shipping Charges, Rates, Cost & Quotes | Freightos (2024)

FAQs

How do you calculate air freight shipping costs? ›

A business can calculate freight forwarding costs by multiplying the weight of the cargo by the corresponding fee per kilogram. This calculation will give you a rough idea of how much it will cost to ship your goods.

What are air freight rates? ›

Air freight rates are the fees associated with the transportation of goods by air. They are calculated based on various factors, including the weight and volume of the cargo, the type of goods being transported, the destination, and the time of year.

How to calculate the freight charges? ›

Five key things to consider when calculating freight costs
  1. Freight weight, dimensions, or volume. The volume of the cargo is a critical factor. ...
  2. Shipping origin and destination. ...
  3. Freight class and density. ...
  4. Type of goods. ...
  5. Economic conditions.

How much does air freight cost per lb? ›

As of early to mid 2023, rates have dropped to around $6.50-$14.00 per pound, which is still higher than pre-pandemic shipping rates.

How to quote freight rate? ›

How are trucking freight rates calculated? Trucking rates are calculated on a per-mile basis. First, take the mileage between the starting and destination points. Then divide the total rate by the number of miles between destinations to get your trucking freight rate.

What is the difference between air shipping and air freight? ›

Air Shipping: Refers to all goods transported by air, including luggage on passenger flights, parcels sent through express services, and large shipments in cargo planes. Air Freight: Refers specifically to the commercial transportation of goods by air, including the costs, logistics, and regulations involved.

How to negotiate air freight rates? ›

10 Tips for Negotiating Freight Rates
  1. #1 Understand Your Operating Costs. ...
  2. #2 Do Your Homework. ...
  3. #3 Identify Your Freight Needs. ...
  4. #4 Consider Shipment Consolidation. ...
  5. #5 Negotiate with Multiple Carriers. ...
  6. #6 Build Relationships. ...
  7. #7 Compare Contract and Spot Rates. ...
  8. #8 Don't Overlook the Details.
May 29, 2023

What is basic freight rate? ›

Freight rates: The price for the transportation of goods

The price, also known as the freight rate, serves as the basis for calculating the transportation of various freight goods.

What is the rate for freight per mile? ›

The average going rates for trucking per mile are: Average van rates: Between $2.30 and $2.86 per mile on average. Reefer truck rates: $3.19 per mile on average. Flatbed truck rates: $3.14 per mile on average.

Why is air freight so expensive? ›

Shipping Cost

The biggest drawback for shipping by air is the cost. Air freight can cost up to 20 times the cost of other modes. Key cost drivers include the plane's jet fuel, maintenance, labor and landing fees – adding up to one hefty price tag that typically makes it the most expensive shipping mode.

Who pays the freight rate? ›

If the terms include the phrase "FOB Origin, freight collect," the buyer handles freight charges. If the terms include "FOB Origin, freight prepaid," the buyer assumes responsibility for goods at the point of origin, but the seller pays the cost of shipping.

How to calculate shipping fee? ›

A: Consider the following elements to calculate shipping costs:
  1. Origin and destination of shipping.
  2. Package weight.
  3. Package dimensions.
  4. Shipping duration.
  5. Insurance for shipping.
  6. Charges associated with shipping.
  7. Charges related to parcel handling.
  8. Duties and taxes.
Mar 28, 2024

How much does it cost to ship a 300 pound package? ›

Sending 300 lb freight to the nearest zone will cost you $477.00 with FedEx 3Day Freight and $435.00 with UPS 3-Day Freight. Sending the 300-pound package with FedEx 2Day Freight will cost you $492.00, and sending it using UPS 2nd Day Air Freight will cost you $474.00.

What is cost and freight charges? ›

Cost and freight (CFR) is a legal term used in foreign trade contracts. In a contract specifying that a sale is cost and freight, the seller is required to arrange for the carriage of goods by sea to a port of destination and provide the buyer with the documents necessary to obtain them from the carrier.

What is the formula for calculating shipping costs? ›

What is the shipping cost formula? Shipping and handling costs = Packaging costs (P) + Shipping costs (S) + Handling costs (H), or P + S + H. There are three variables in the formula: P = Packaging costs, or the cost of the envelope or box and any packing materials.

How is freight shipping calculated? ›

Calculating freight shipping rates involves a combination of factors, including freight class, weight, dimensions, distance, mode of transportation, accessorial charges, market conditions, packaging, and carrier selection.

Is air freight by weight or volume? ›

In airfreight, standard carrier pricing is based on weight rather than volume. However, light loads take up much more space than their share of weight load and would be unprofitable for airlines to ship.

How is actual weight in air shipments calculated? ›

Actual weight is the physical weight of an air cargo shipment, weighed and measured in kilograms (kg) or pounds (lbs). To calculate the freight rate, the actual weight is compared to the calculation of the volumetric weight according to the dimensions. The freight rate is then based on the higher weight figure.

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