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Express operators questioned on "strange" pricing changes

European Shippers' Council  website
European Shippers' Council website

By: Jerrel Yun, Singapore
Published: Apr 27, 2009
Global - Express operators TNT, UPS and DHL are being questioned by the European Shippers' Council (ESC) on their decision to change calculation fees for low-density air cargo.

Since late-2008, TNT, UPS and DHL have changed their methods for calculating the amount charged for volumetric shipments, thus increasing freight rates for low-density shipments in the process, ESC's Air Transport Council said at a recent meeting in Brussels.

Light-weight air cargo is charged according to its volumetric weight.

In recent years, the volumetric weight has been calculated on the basis of 1 kg being equivalent to 6,000 cubic cm. DHL and others have revised this measurement and calculate 1 kg as equivalent to 5,000 cubic cm.

ESC has since opposed to the movement.

Nicolette van der Jagt, secretary general, ESC said, "At a time when aircrafts are flying with spare capacity anyway due to the economic climate, it seems strange that these companies should all choose to introduce the new calculation around the same time."

The secretary general continued, "We will be looking closer at this in the coming weeks because my members simply cannot understand the justification for it."

Express operators have also been asked by ECS to clarify whether they intend to apply the new calculation methods to freight flown on third-party airlines.

Companies featured:

  • UPS Pte Ltd
  • DHL
  • TNT

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