Airlines

Growth in air cargo demand to decelerate in 2025, IATA says

Air cargo volume growth will be halved in 2025, but it will still be a good year for carriers behind continued ocean shipping delays, tight freighter capacity and strength in cross-border e-commerce, the International Air Transport Association forecast.

Cargo volumes are expected to reach 80 million tons, a 5.8% increase from 2024, the trade association said. Cargo demand this year has grown year over year between 10% and 13%, depending on whether it is measured by traffic (cargo ton kilometers)...

https://www.freightwaves.com/news/growth-in-air-cargo-demand-to-decelerate-in-2025-iata-says

Global IT outage slows air cargo shipments

Air cargo shipments are being delayed Friday by a widespread software outage that has crippled technology systems worldwide, including at airlines and airports.

The outage appears to stem from a software update for Microsoft Windows operating systems issued by cybersecurity firm CrowdStrike, which is causing computers at companies and institutions to crash. The company says the issue has been identified and a fix has been deployed.

FedEx and UPS said they have activated contingency plans to...

https://www.freightwaves.com/news/global-it-outage-slows-air-cargo-shipments

Uptick in airfreight rates creates mirage of market recovery

Air logistics stakeholders may want to pump the brakes on celebrations of shipping volumes and rates finally climbing from the depths of a prolonged downturn. Newfound optimism is tempered by the fact that growth has more to do with normal seasonal patterns than a fundamental shift in demand. The market is essentially flat versus an anemic final stretch in 2022, according to the latest data.

And with no signs of a demand push as consumer finances get squeezed, analysts remain bearish about...

https://www.freightwaves.com/news/uptick-in-airfreight-rates-creates-mirage-of-market-recovery

COVID cost initiative boosts Cargojet margins despite drop in volumes

Cargojet, an all-cargo airline that operates a domestic express network in Canada for customers such as Amazon and DHL Express, on Monday said reduced flying in response to a slowdown in shipping and tight cost management during the second quarter helped maintain profit margins that were better than analysts expected.

The company recorded adjusted earnings before interest, taxes and accounting measures sliding 8.4% to $57.7 million ($74.3 million Canadian). A nearly 10% reduction in expenses,...

https://www.freightwaves.com/news/covid-cost-initiative-boosts-cargojet-margins-despite-drop-in-volumes

Atlas Air promotes Michael Steen to CEO

Cargo airline Atlas Air on Thursday announced that Chief Commercial Officer Michael Steen will take over as CEO on June 15, replacing John Dietrich in line with the company’s succession plan, and that CFO Spencer Schwartz will retire the same day.

A new chief commercial officer will be named after Steen, 56, is officially appointed as CEO.

Dietrich, 58, is retiring after nearly 25 years with the company, which was acquired by investors led by hedge fund Apollo Global Management (NYSE: APO) in...

https://www.freightwaves.com/news/atlas-air-promotes-michael-steen-to-ceo

CMA CGM Air Cargo ‘temporarily’ suspends US operations

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CMA CGM Air Cargo, the startup airline of France-based shipping giant CMA CGM, abruptly dumped...

https://www.freightwaves.com/news/cma-cgm-air-cargo-temporarily-suspends-us-operations

Air cargo execs more nervous over consumer pullback

MIAMI — Air cargo airline and logistics executives have written off the traditional peak season bump in shipping business as the global economy decelerates, leaving them to speculate whether prospects will improve sometime in 2023.

The growing pessimism, following 18 months of record-setting volumes and revenues, was underscored by International Air Transport Association data last week showing a 10.7% decrease in cargo demand in September compared to the prior year. Continued contraction in...

https://www.freightwaves.com/news/air-cargo-execs-more-nervous-over-consumer-pullback

Delta invests in Joby and home-to-airport drone service

Joby aircraft drone

Nobody likes a layover. Those hours spent at the airport would be better spent in Aruba, Jamaica or whatever destination you’re headed to.

But very soon there could be a different kind of connecting flight — one that you won’t want to pass up.

That’s because Delta Air Lines (NYSE: DAL) on Tuesday announced a multiyear partnership with Joby Aviation Inc. (NYSE: JOBY), a Santa Cruz, California-based company that builds an autonomous, electric vertical takeoff and landing (eVTOL) drone that has been...

https://www.freightwaves.com/news/delta-invests-in-joby-and-home-to-airport-drone-service

Air cargo peak season evaporates on low demand, high capacity

A container on a hydraulic lift being loaded through side door of a plane on a bright day.

It’s the time of year when retailers typically make their final push to ship goods from abroad in time for holiday shopping and freight rates are highest, but so far signs of peak season in air cargo are difficult to find. Instead, rates continue to slide as global economic clouds dampen demand and airlift supply rises with the recovery of passenger travel.

Air freight spot rates tumbled 9% year over year in September to below the 2021 level for the first time this year, Xeneta, an ocean and air...

https://www.freightwaves.com/news/air-cargo-peak-season-evaporates-on-low-demand-high-capacity

Maersk developing South Korea-South Carolina air cargo route

A white-blue Star Air jet as seen from below against blue sky.

Maersk Air Cargo tipped its hand this week on which city pairs will be part of its inaugural trans-Pacific service as the air wing of the giant ocean shipping line enters the U.S. market for the first time.

The airline plans to fly a special “demonstrator” flight with live cargo on Aug. 31 from Incheon International Airport in Korea to Greenville-Spartanburg International Airport in South Carolina, Adam Farmer, head of sales for Maersk in Northeast Asia and a managing director in Korea, said in...

https://www.freightwaves.com/news/maersk-developing-south-korea-south-carolina-air-cargo-route

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