Air Freight Market Heats Up With Release Of iPhone 5

 Industry experts and Liberty's origin partners are reporting that air freight rates could jump significantly in September with the release of the iPhone 5 like they did on other product releases earlier this year. The JOC reported yesterday that the "release of an array of new high-tech gizmos, including the iPad Mini and Samsung smartphones, could give the ailing Asian air cargo industry a boost in September."

Cargo volumes have been uncharacteristically soft with demand slipping 3% from last year according to IATA, resulting in carriers making deep cuts in capacity and, in some cases, grounding parts of their fleets in the desert. These capacity cuts combined with a sudden surge in volume could result in an increase in air freight rates for cargo moving from Asia to the US similar to that experienced in March when Apple released the iPad 3, causing rates to jump 20 percent in one week.

Experts predict that Apple will sell over 170 million units of its new product during the first four quarters in the market and potentially more if it can maintain the iPhone growth rate it has experienced in the past.

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