Fuel surcharges for international air express shipments are somewhat weaker this month in responseto more stable oil prices with slight falls in the USA and partly in Europe, and unchanged levels
in Asia, CEP-Research analysis shows.The February 2010 surcharges of DHL, TNT, UPS and FedEx all show a downward trend in the USAbut have remained at the same level in Asia. In Europe, surcharges have either dropped or stayedthe same depending on the integrator.
January showed a similar downward trend in the USA but an upward tendency in Europe and amixture of rising and falling surcharges in Asia.
In Europe, FedEx and TNT surcharges dropped slightly this month but did not change for UPSand DHL. DHL Express and UPS surcharges remain at 12.5% and 13% respectively. FedEx surcharges wentslightly down from 13% last month to 12.5% this month. The TNT Express European surcharge droppedto 16% in February from 16.5% in January while its separate UK surcharge went down from 8.5% inJanuary to 8% in February.
In the USA, FedEx Express, UPS and DHL Express have all decreased their February surchargesfor domestic and international air express shipments to 6.5% from 7% last month.
In Asia, surcharges for DHL, TNT and UPS have all remained on the same level in Februarycompared to last month with 16%, 13%, and 15.5% respectively. FedEx, whose surcharges vary bycountry in Asia, also left its export and import fuel surcharges in both Singapore and in Hong Kongunchanged at 10.5% for February.
The air express fuel surcharges for February reflect the oil price level two months ago. Thefour leading express carriers calculate their surcharges based on indexes showing the previousmonth’s oil price level and announce them in advance for the following month. This results in atwo-month time lag between prices and the surcharge level.
Compared to January, when prices were above $80, oil prices dropped below $70 in earlyFebruary but have risen again in recent days. Today, prices settled at $72.13 a barrel on the NewYork Mercantile Exchange while the Brent crude oil price in London was slightly lower with $70.46 abarrel. Oil rebounded on a weaker dollar, recovering from last week’s losses.
Last week, oil fell 4% as investors worried about growing debt in Greece, Spain and Portugal.This year, crude oil has lost nearly 10% dragged down by data showing bulging fuel stockpiles inthe United States despite cold weather, concerns about slower Asian demand if China furthertightens its monetary policy and Europe’s financial stability, Reuters reported.
