Basic concepts

(1) Actual gross weight: the sum of the net weight of the cargo and the weight of the package.

(2) Volumetric weight: the cargo volume is converted into weight according to a certain ratio, with 0.5 kg as the calculation unit. The formula for calculating volumetric weight is:

Volume weight = cargo volume/6000

(3) Chargeable weight: the air freight of cargo is calculated based on weight. In actual situations, air cargo needs to consider whether the cargo is heavy or bulky. Therefore, it is necessary to calculate the volumetric weight of the cargo first, and select the weight used to calculate the freight as the chargeable weight based on the high or low density of the cargo.

(4) Higher weight cutoff point: if the freight of the actual chargeable weight exceeds the freight of the higher weight cutoff point, the airline may agree to charge the lower freight, and the starting weight of the cargo at this higher weight cutoff point shall be the chargeable weight of the cargo.

[Example] A 30kg cargo is shipped to South Korea. The freight rate is 37.15 yuan/kg for cargo below 45kg and 18.28 yuan/kg for cargo above 45kg. Please design a suitable logistics plan.

30×37.15=1114.50 (yuan)>45X18.28=822.60 (yuan). The airline company agrees that the logistics company should report the cargo weight as 45kg, and the calculated freight is 822.60 yuan.

(5) Billing weight unit: The billing weight of international cargo is based on 0.5kg as the smallest unit. If the weight is less than 0.5kg, it is calculated as 0.5kg; if the weight is more than 0.5kg but less than 1kg, it is calculated as 1kg.

(6) Minimum freight rate: This refers to the minimum air freight charge for an airline to carry a cargo from the departure airport to the destination airport. For small-volume cargo transportation, the carrier will still incur certain operating costs, so the quotation is the lowest freight for each shipment, coded as “M”.

(7) Negotiated freight rate: This refers to an agreement signed between the airline and the shipper, where the shipper guarantees to deliver a certain amount of cargo to the airline each year, and the airline provides the shipper with a certain amount of freight discounts.

(8) IATA freight rate: The freight rate published by IATA through the Tact Rates Book. According to the form of IATA freight rate publication, international freight rates can be divided into published direct freight rates and non-published direct freight rates.