How Air Freight Moving Costs are Calculated

The cost of air freight moving is determined by a variety of factors, the most important of which are the weight of the cargo and the destination of the package. Companies can calculate freight transportation costs by multiplying the weight of the cargo by the corresponding rate per kilogram. However, due to limited space in airline cargo holds, weight and volume are crucial elements to consider. Depending on which is more expensive, air freight charges will be charged in volumetric weight (or dimensional weight) or in actual weight (or gross weight).

In addition, costs will vary depending on the place of delivery, with domestic air freight costs being lower than international air freight. If the volumetric weight exceeds the actual weight of the items, air freight costs will be charged based on the volumetric weight. The most important component of calculating the cost of air freight is the rate per kg. Once you have 26% of the chargeable weight per kg (per kilogram), simply multiply them to get the air freight rate. For example, if you want to move a truckload of steel from your facility in Minneapolis, Minnesota, to your customer in Omaha, Nebraska, the price you pay to transport your shipment depends directly on what's available for transportation in the Omaha area.

This means that if you need to transport cargo less than 250 miles away, you'll be charged all day and not a per-mile fee. One of the key factors that determine air freight costs is the distance between the airports of origin and destination. As truckers get carried away by cruise control, good weather and collaboration with the road, long-distance transport can become a very efficient option for transporting their cargo over long distances. The cost of your air cargo shipment is estimated based on a quote provided by your freight forwarder. The best way to start is to understand the air freight quote and what the breakdown of any air freight quote is. The standard air freight quote depends on the scope of the work, which is explained in the shipping incoterm (international trade term).When choosing between air and sea transport, companies tend to choose maritime transport as “it is usually the most cost-effective solution”.

If you keep taking the right steps, you can have a more accurate estimate (fewer surprises) and, perhaps, even reduce the cost of your air freight bill. Next, we highlight how air transport costs are calculated based on weight, size and 26% of the distance traveled by route. Remember that this is only air transport (from airport to airport). Your freight forwarder will be able to provide you with a full quote that will include costs from origin to destination and customs clearance costs. Air shipping is much more expensive than shipping by sea or by truck but sometimes urgent cargo requires a shorter transit time so there is no alternative to shipping by air.

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