Air Cargo Forwarder News

The air cargo industry is riding a tailwind right now. And while growth hasn’t been spectacular by any means, industry insiders say it’s been sustained and healthy — a vast improvement from where it was just a year ago.

Plans to construct an international air cargo gateway in St. Louis took another step forward this week after the city’s airport commission approved the project in a unanimous vote.

TNT Express said it will open talks shortly with potential buyers of its cargo airlines following FedEx’s agreed 4.4 billion-euro ($4.8 billion) takeover.

Kerry Logistics plans to build a regional express delivery platform in China and across the Asean region to capitalise on a rapidly growing segment of the logistics business, but it will be a cautious entry into a difficult market.

Air cargo leaving India has been hit with severe delays because of poor weather and the lingering impact of U.S. West Coast port congestion on world trade, according to a U.S. freight forwarder specializing in air and ocean freight in the Far East.

TNT Express slumped to a 137 million euros [US $156 million] net loss in the fourth quarter of 2014 from a 32 million euros profit in the same period in 2013, driven mainly by restructuring charges tied to an abortive takeover bid by its larger rival, UPS, two years ago.

Nippon Express Co., Japan’s top international freight forwarder, posted a big jump in group net profit in the first three quarters of fiscal 2014, as revenue from overseas operations grew robustly, helped by a weaker yen.

Blue Dart Express, India’s leading air express and logistics service provider, reported a 19 percent rise in net income to Rs. 27.13 crore (US $4.4 million) for its third quarter, which ended Dec. 31.

Amsterdam Schiphol airport said cargo traffic got off to a slow start this year because increased trans-Pacific shipper demand for air cargo services due to U.S. West Coast port congestion is diverting freighters from Asia-Europe routes to the Pacific.

Lufthansa Cargo is “cautiously optimistic” about its performance in 2015 after filling nearly 70 percent of its capacity in a fiercely competitive market last year, CEO Peter Greber said.

London Heathrow increased air freight traffic by 5.3 percent in 2014, driven by a surge in shipments to key emerging markets, but capacity restraints are threatening to slow growth at Europe’s fourth largest cargo hub.

Larger international shippers increasingly use UPS's expedited freight service as a strategic "cushion" or aid in supply chain planning, as well as for urgent shipments.

Following a strong end to 2014, global air freight demand will rise 4.5 percent in 2015, outpacing the growth of world trade, the International Air Transport Association says.

Global air cargo revenue will rise to $63 billion in 2015 from an estimated $60 billion this year, but will remain roughly 5 percent lower than in 2010, according to the International Air Transport Association.

FedEx and UPS have boosted their on-time delivery performance to 91 to 95 percent, compared with 83 to 89 percent a year ago, bolstering hopes for a happier holiday season.

India’s fast growing e-commerce market is facing some formidable challenges, with nation-wide distribution among the key issues logistics services providers must overcome.

Nippon Express Co., Japan’s largest international freight forwarder, said on Monday that it has acquired a controlling stake in Nittsu NEC Logistics Ltd., its joint venture with electronics maker NEC Corp.

The rapid expansion of China’s largest courier SF Express both internationally and across domestic cities over the past two years has been stunning, yet the growth of e-commerce in its home market is always one step ahead.

All Nippon Airways Co. and United Airlines, both members of the Star Alliance global airline network, plan to launch a strategic air cargo joint venture on trans-Pacific routes, the first of its kind between the U.S. and Asia.

Germany’s Deutsche Post DHL booked higher third-quarter earnings as strong gains in international express and domestic parcel shipments offset shrunken margins at its global freight forwarding unit.

Combined growth among the 50 largest transportation and logistics companies worldwide slowed to a halt in 2013 amid global economic uncertainty. The combined revenue of the 50 companies slipped 0.1 percent after increasing 2.6 percent in 2012 and 8.4 percent in 2011.

Blue Dart Express, India’s leading air express and logistics services provider, reported relatively flat fiscal second-quarter net profit as a 24 percent rise in operating costs offset a 23.5 percent increase in operating revenue.

A plan to move air freight facilities from John F. Kennedy International Airport to upstate New York likely won’t come without a fight.

Chinese package delivery company S.F. Express was the fastest-growing global transportation company in 2013, increasing revenue 40.6 percent in a year when the 50 largest transport operators saw revenue go flat.

Air France-KLM’s troubled cargo business sank deeper into the red in the third quarter due to weaker demand and a two-week strike by pilots in September.

Air freight rates are on the rise heading into the peak season months of October and November, continuing a recent robust streak, Drewry Shipping Consultants says.

TNT Express suffered its first operating loss in five quarters due to a provision for a potential antitrust fine and restructuring costs.

London – Amsterdam and London have closed the gap with Europe’s top freight airports as pilot strikes at Lufthansa and Air France shrunk cargo traffic at their Frankfurt and Paris hubs.

The shift of freight from air to ocean is just a blip for container lines but has hit the air cargo industry hard, with few signs of relenting, a maritime consultant said Thursday.

Strong growth out of Hong Kong and China in September saw Cathay Pacific and Dragonair continuing to post double-digit growth as cargo and mail throughput rose 14.5 percent compared to the same month last year.

UPS added 766 U.S. postal codes to its UPS Worldwide Express Plus network in the third quarter, extending the reach of its international earliest morning service deeper into the U.S.

TNT Express today issued a profit warning for 2015 because of tough trading conditions in Europe.

Three global funds will invest $700 million in XPO Logistics, accelerating the fast-growing company's acquisition plans for 2014.

Deutsche Post DHL will use India to pilot the development of its e-commerce business model for the Asia-Pacific region via subsidiary Blue Dart Express.

The air cargo industry has been battling declining market share for years as cost-sensitive shippers move long-haul cargo from air to ocean transport, but that trend may be coming to an end, PIL Managing Director Teo Siong Seng says.

A quarter of Vietnam’s trade by value is shipped by air, and the International Air Transport Association (IATA) expects the country to be the world’s fastest-growing air cargo market over the next three years, expanding at 6.6 percent a year.

Iceland has downgraded the alert level for a volcano from “red” to “orange” after backtracking on a statement made on Saturday that a small subglacial lavel eruption had begun under the site.

Shanghai Pudong International Airport Cargo Terminals Co. Ltd (PACTL) reported 23 percent growth in air freight throughput in July year-over-year as strong demand from international markets continued.