Fuel surcharges for international air express shipments have decreased slightly in Decemberfollowing an upward trend during the last few months that was driven by rising oil prices,
CEP-Research analysis shows.The current downward trend in surcharge levels is the result of falling oil prices over the lastfew months after an increase that started in late June and continued through July and August intoSeptember.
In Europe, TNT Express was the only integrator to maintain its surcharge for December at theNovember level with 20.5% while DHL and FedEx both decreased their rates to 17.5% from 18% inNovember. UPS’s surcharge also dropped to 17% this month from 17.5% last month.
In the USA, FedEx, UPS and DHL all put down their surcharges to 13.5% from 14% in November.
In Asia Pacific, DHL reduced its surcharge slightly to 24% from 24.5% in November while TNTExpress’s surcharge for Asia Pacific, Middle East and Africa dropped back to 20% from 20.5% lastmonth. UPS has decreased its Asia surcharge from 21.5% in November to 21% in December while FedEx’ssurcharge fell from 18.5% last month to the current 17.5%.
The air express fuel surcharges for December reflect the oil price level two months ago. Thefour integrators calculate their surcharges based on indices showing the previous month’s oil pricelevel and announce them in advance for the following month. This results in a two-month time lagbetween the fuel price and surcharge change.
Oil prices experienced some ups and downs over the last few months with crude oil showing somepeaks in October and a downward tendency in November with a slight increase in December. Brentcrude oil futures in London closed at $109.50 a barrel on Tuesday while WTI crude oil on the NewYork Mercantile Exchange traded at $86.75.
