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            CompanyNews IndustryNews

            Air cargo has ushered in its peak business in the past 18 months


            Driven by the growth of e-commerce B2C and B2B business and increased consumer demand, air freight demand has recovered strongly. Neel Jones Shah, global air cargo director of freight forwarding company Flexport, said that in the past 18 months, the industry's development has been at a peak, and it is expected that the industry's freight demand will set a new record and continue until 2022.

            Recently, in terms of shipping, shortage of ships, shortage of manpower, and port congestion, coupled with epidemic prevention measures that reduce work efficiency and a series of force majeure factors, the global shipping supply chain continues to be tight, and carriers and merchants are suffering. As a result, more and more people have turned their attention to air transport.

            Rombeek, senior director of network trade management for Flexport Europe, Middle East and Africa, predicts that air cargo demand will maintain an annual growth rate of about 2.7% in the next five years, with e-commerce and cross-border trade becoming important driving factors. The complexity of the supply chain means that more production areas and destinations are involved, faster transit time and door-to-door delivery requirements, which promote the air transport market demand.

            According to reports, Amazon is planning to purchase a large number of long-range wide-body cargo planes to directly transport goods from the Asia-Pacific region to the United States and directly transport the goods to its dedicated airport hub network, thereby covering more than 70% of the population within 160 kilometers. This will reduce Amazon's reliance on ocean shipping, better control logistics, and help simplify and speed up the delivery process to consumers.

            The latest research by the Chadick Institute for Metropolitan Development at DePaul University shows that from February to August this year, Amazon Air’s transportation in the United States increased by 17%, with an average of more than 160 flights operating every day. By January 2022, the total number of daily flights will exceed 180.

            At the same time, JD.com previously chartered planes from airlines to transport cargo, and has now obtained approval from the Civil Aviation Administration of China to operate its own air cargo business. In September, JD.com announced the opening of air freight services between China and Britain, providing scheduled freight services to Europe for the first time. JD.com stated that it will be committed to using JD’s global supply chain, logistics and other infrastructure services to help promote the development of global cross-border e-commerce and trade. The person in charge of JD’s international logistics department said that the new crown pneumonia epidemic has severely affected the shortage of maritime and air cargo resources in the global supply chain. JD’s goal is to have no less than 100 aircraft by 2030, including leased and jointly purchased aircraft. International business growth.