- Demand picking up for DSV China-Europe road freight service.
- Air freight capacity crunch due to the coronavirus pandemic saw increases in air freight rates.
- Congestion caused slowdown in air freight supply chains.
- Asia-Europe road freight services demand seen to pick up with high air freight rates on the route.
Air freight capacity crush due to the Coronavirus Pandemic has led to an increase in China-Europe road freight service demand, says an article published in The LoadStar.
High air freight rates
Demand for Asia-Europe road freight services is seen to pick up as a result of continuing high air freight rates on the route.
Air freight capacity crunch
According to DSV Panalpina, the factors that had brought increased demand for its China-Europe trucking service are:
Air freight capacity crunch due to the coronavirus pandemic has led to steep increases in air freight rates.
Slowdown in air freight supply chains due to congestion.
Transit time difference
The company said that the transit time for air freight from Shanghai, China to an airport in Western Europe is now around eight days and last month it was up to 14 days.
A viable alternative
Tine Jørgensen, rail & gateway manager at DSV’s Air & Sea forwarding division said, “Our road transport service from Eastern China to Western Europe has gained in popularity as it is a viable alternative to air, sea and rail.”
Transit duration
Its road freight service between Shanghai and Hamburg takes 15-17 days, depending on whether it employs one of two drivers.
DSV spokesman said that they operate the service with one driver, with an option to add a second to save two-to-three days, according to local restrictions and legislation.
About shipments
The service, which departs from Shanghai and the Pearl River Delta, cross-docks at a facility in Kazakhstan, with fixed departures for less-than-truckload (LTL) shipments.
Full truckload (FTL) shipments depart “when the cargo is ready”.
Import flow Europe to Kazakhstan
DSV told it was employing subcontracted haulage for the service and –
“there is a normal import flow of roads from Europe to Kazakhstan. It is these trucks we are using for the return trip”.
It also said: “So far we have had no issues at the land borders. Documentation is pre-checked before crossing.”
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Source: The LoadStar
