TAC INDEX MEASURING THE STATE OF THE AIR CARGO MARKET
October 26, 2026
26th October 2026 – Hong Kong, S.A.R. – a weekly air cargo bulletin for industry journalists interested in logistics and supply chains. Â
UPDATE on air cargo 26-OCTOBER-2026
Intelligence Update
Global air freight rates rose again last week according to the latest data from TAC Index, the leading price reporting agency on air freight markets and calculating agent for the Baltic Air Freight indices. The global Baltic Air Freight Index (BAI00) was higher by a further +3.9% over the week to October 26 as the market continued into its traditional peak season period, pushing the index to a gain of +27.1% from 12 months earlier. Rates have been at elevated levels most of the year ever since conflict in the Middle East between the US, Israel and Iran erupted in late February. With Ukrainian strikes on Russia also hitting global production of oil products, the ‘crack spread’ has also widened – with jet fuel prices reaching an increase of +118.5% over the year to October 23, according to the latest IATA Jet Fuel Price Monitor. With demand yet to reach the top of peak season highs and jet fuel supplies so tight, sources suggest that pressure for rates to rise further is still very much increasing.Â
Rates on the busiest lanes out of China were escalating again last week not only on Transpacific lanes to the US but also to Europe. BAI Spot rates from Hong Kong, Shanghai and Seoul were also up sharply WoW, particularly on Transpac lanes. The full index of outbound routes from Hong Kong (BAI30) – reflecting the whole spectrum of spot and forward rates being paid – gained +4.2% WoW to push it up to +28.0% YoY. Outbound Shanghai (BAI80) gained a more modest +2.9% WoW to leave it at +19.2% YoY. Rates on major lanes from other big hubs in East Asia in Japan and Korea were also higher WoW, though dropped from Taiwan to Europe. From South East Asia, rates were also a little higher WoW from Hanoi, though lower from Bangkok. From India, rates were slightly higher again WoW to Europe but lower to the US – though still at more than +70% YoY in both directions.Â
Out of Europe, rates were rising steeply again WoW, led by a big increase on Transatlantic lanes to the US as well as on lanes to China, India, the UAE, Australia, Mexico and South Africa. The index of outbound routes from Frankfurt (BAI20) surged +13.7% WoW, pushing its gain to +48.8% YoY. Outbound London Heathrow (BAI40) also surged by +13.3% WoW, pushing it up to +54.0% YoY.Â
From North America, rate patterns were a little more mixed with further gains WoW on lanes to Europe and the UK as well as to South America – though not on the busiest lanes southbound from Miami – but also falls on lanes to China and Korea. The index of outbound routes from Chicago (BAI50) dropped by -12.0% WoW to leave it still up but at only +15.8% YoY. Rates from Mexico to Europe edged slightly higher to leave them still at more than +50% YoY.Â
Go to TACIndex.com for all the specific data on individual lanes – including lanes recently added from the Greater Bay Area to Dubai, Kuala Lumpur, Seoul and Tokyo as well as from Europe to Johannesburg. You can also find information on the new TAC Terminal, an ‘Air Cargo Oracle’ designed to turn fragmented inputs into clear, actionable outputs (like a Bloomberg Terminal but for Air Cargo).
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