Freight rates on the Hong Kong to North America route rose 6.3 per cent month-on-month to $5.70 per kg in October, while rates on the European route rose 4.1 per cent to $4.59 per kg, according to the Baltic Exchange

　　Air freight prices from Hong Kong rose in October as the U.S.-China trade talks continued, but the increase in air freight prices to Europe lagged behind the increase in air freight prices to North America.

　　The latest monthly statistics from the Baltic Exchange's Air Cargo Index show that the average freight rate from Hong Kong to North America rose 6.3% from September to $5.70 per kilogram. The index uses data from the TAC Index based on spot and contract prices.

　　The transaction rate is still down 0.5% from October last year, but it has narrowed from the 10.4% year-on-year spread in September.

　　Sources said the spot exchange rate between Hong Kong and North Korea has continued to rise in recent weeks.

　　In recent weeks, WorldACD has also recorded a rise in spot exchange rates from China to the United States, citing increased demand due to ongoing trade negotiations between China and the United States and potential tariff increases.

　　WorldACD said in a recent market summary report: "This is likely to reflect pressure on production capacity, partly because importers are trying to load goods ahead of the threat that the United States will impose higher new import tariffs on China's goods starting next month. The United States announced this tariff on October 10 in response to China's restrictions on its 'rare earth' exports. "

　　Every year at this time, as the market enters its traditional peak season, prices typically rise-hitting a peak in December.

　　Meanwhile, interest rates have been rising from Hong Kong to Europe in recent weeks. TAC index data shows that prices rose 4.1% in October compared with September to $4.59 per kilogram, while prices fell 5.9% compared with last year.

　　While airfares to Europe have risen compared with September, the increase is still behind recent levels, perhaps reflecting expectations that this year is expected to be a relatively quiet travel season, as industry insiders say.

　　Earlier this year, due to the ongoing tariff dispute between China and the United States, market demand shifted from Asia to the United States and to Europe, which could lead to high inventory levels and reduced demand for shipments during the peak season.