Comprehensive Guide to International Air Freight (Save & Learn)

Air freight has captured significant market share with its speed, safety, and punctuality, drastically shortening delivery times and boosting capital turnover in logistics supply chains. Major airlines have ramped up cargo flights to compete for this growing segment. However, air freight costs remain higher than ocean shipping, making it ideal for time-sensitive shipments.

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8 Key Factors for Air Freight Quotes

1. Commodity (Is it hazardous?)

2. Weight (affects pricing) & Dimensions (is it volumetric cargo?)

3. Packaging (wooden crates? palletized?)

4. Destination Airport (is it a major hub?)

5. Time Requirements (direct or transshipped?)

6. Flight Preferences (service/price variations by airline)

7. AWB Type (Master or House Air Waybill)

8. Additional Services (customs clearance, documentation, door delivery?)

Volumetric Weight Rule:
1 CBM = 167 kg. Charges apply to the greater of actual or volumetric weight.

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Air Freight Cost Breakdown

Few know how airlines calculate airfreight rates. Here’s the structure:

1. Airfreight (carrier charge)

2. Fuel Surcharge (varies by route; e.g., ~HKD 4/kg from Hong Kong)

3. Security Screening Fee (fixed, e.g., HKD 1/kg in Hong Kong)

4. Terminal Handling Charge (THC) (e.g., HKD 283/shipment in Hong Kong)

5. Handover Fee: ~HKD 1.72/kg (paid to consolidators for palletizing)

6. AWB Fee: HKD 15/bl (issuance of the Master Air Waybill)

Note: Hong Kong, a global free trade hub with 100+ daily flights and 78 airlines, offers superior capacity but at ~HKD 2/kg premium vs. mainland China.

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Key Air Freight Terms

Special Cargo Categories:

• Dangerous Goods: Requires Shipper’s Declaration.

• Valuable Cargo: ≥USD 1,000/kg (e.g., gold).

• Vulnerable Cargo: High-theft-risk items (no declared value).