ACW 21st November 22

North America navigates 2022’s ups and downs

AVOLON PARTNERS WITH GLOBAL AVIATION LEADERS TO LAUNCH SUSTAINABLE AVIATION FUEL FEASIBILITY STUDY

Avolon has announced a collaboration with Boeing, ORIX Aviation, SFS Ireland and SkyNRG, to conduct a feasibility study into the production of Sustainable Aviation Fuel (SAF) in Ireland. This partnership reflects Avolon and its partners’ commitment to taking a leading role in helping develop future technologies that reduce the aviation sector’s carbon footprint.

The study is being led by SFS Ireland and SkyNRG with the goal of identifying market level opportunities for an investable commercial-scale SAF production facility in Ireland. The study will be completed in 2023.

The planned growth of renewable energy sources in this country makes Ireland a potential location for SAF production. As a global leader in aviation finance and airline operations, Ireland is home to key stakeholders in aviation’s decarbonisation journey.

SAF is a commercially used fuel that reduces lifecycle emissions by up to 80%, creating the opportunity to significantly lower aviation’s

reliance on fossil fuels, as well as its overall emissions. IATA, the trade association of the world’s airlines, sees SAF playing a key role in helping aviation reach its net zero target by 2050 – a target that has been set by its member airlines – contributing to 65% of the reduction in emissions needed.

“We are delighted to be partnering with a team of global experts that have a shared ambition of being at the forefront of sustainable innovation that will reshape the future of aviation. The path to net zero requires a combination of new technology aircraft and large-scale deployment of SAF, and this project will help deliver sustainable solutions to accelerate decarbonisation,” Andy Cronin, Avolon CEO, said.

“We will need a massive increase in the amount of SAF if we are to reach our industry’s commitment to net zero carbon emissions by 2050. Scaling SAF is paramount. Ireland’s growth in renewable energy makes it a prime location for SAF production with zero climate

impact,” Sheila Remes, Boeing Vice President, Environmental Engagement and Business Development, commented.

“Further development and large scale commercialisation of SAF is a critical milestone for the industry to reach together and this project will help deliver on that,” James Meyler, ORIX Aviation CEO, added.

“The aviation industry will rely on a number of pathways to meet its net-zero 2050 targets and collaboration with global experts to help drive innovation in SAF is key to being successful. We are proud to be working with Avolon, Boeing, ORIX Aviation, and SFS Ireland on this feasibility study. Each new SAF research project brings us one step closer to identifying what production pathways and sustainable feedstocks are available and helping evaluate how best to assist the aviation industry in meeting mandated targets. The outcome of this study will be of great value to Ireland’s aviation sustainability journey,” Philippe Lacamp, SkyNRG CEO, said.

IAG CARGO EXPANDS ... IAG Cargo, the cargo division of International Airlines Group (IAG), has announced the restart of its direct service between London Heathrow...

Eurora launches service portal to cut red tape caused by Brexit for UK SME exporters

EURORA Solutions has launched its Service Portal, enabling UK Small and Medium Enterprises (SMEs) to outsource the complexities of dealing with the red tape caused by Brexit. Using the Service Portal, SMEs can access a full suite of low-cost services required for international trade compliance via the Import One Stop Shop (IOSS) Service and Core Business Bundle, allowing SMEs to re-engage with more than 500 million consumers in the European Union (EU).

“SMEs, especially businesses on the small end of the spectrum, have been hit disproportionately by the red tape and regulatory changes caused by Brexit. We’ve put together a full suite of international compliance services at an affordable price point, specifically tailored for SME businesses. Clients get a personal tax expert to help them navigate the paperwork and lower fees. Even UK VAT returns submissions are included in the offering, so companies can focus on growing their business within the EU,” Paul Scratchley, Commercial Director of Eurora, said.

Impact of Brexit on SMEs’ Export

After leaving the EU, companies faced additional courier fees, duties on goods originating outside the UK, administration of VAT and other Brexit-related costs. From 1st July 2021, the EU introduced new rules on how VAT is accounted for in cross-border trade. The changes mean businesses selling goods valued up to £135/€150 to customers in the EU, will have to charge import VAT. Calculating, collecting and paying the correct amount of VAT due on sales remains the main area of confusion for SMEs. The new IOSS system is designed to make accounting for VAT easier; however, the rules also state that UK businesses must use an intermediary, such as

Eurora, to sign up for an IOSS number.

According to a survey conducted by the British Chamber of Commerce (BCC), amongst 1,000 SMEs, 20% of respondents said they could not meet the requirements of the UK-EU Trade and Cooperation Agreement (TCA) to export to the EU block. Other top barriers for exports were costs and disruption (48%), as well as tariffs (48%) and customs procedures (47%). A further 41% of businesses said regulatory issues such as product certification hindered trade. Eurora’s Service Portal offers all the solutions SMEs need to resume trade with the EU and cut through the red tape caused by Brexit.

Full suite of cross-border trade compliance services

The subscription-based IOSS Service provides customers with a dedicated tax consultant who will look after the clients’ IOSS registration and offers personalised support and advice. The consultants guarantee that all low-value shipments (up to £135/€150) to the EU fully comply with VAT legislation. The registration can usually be completed in a matter of hours, and the prices for the subscription start from £43/€49 a month for 25 shipments.

Eurora’s Core Business Bundle enables SMEs to access the minimum requirements for international shipping – automated product classification (HS) code allocation, Duty & Tax services, and Denied Parties and Import Restrictions screening. There are more than 5,000 different HS codes, and misallocating the code can result in paying incorrect duty and taxes and a fine from the authorities. The Core Business Bundle launched as a pay-peruse service and can be used immediately after purchase. The prices start from £43/€49 for 500 credits, with one credit used per enquiry.

Theftex launches aviation approved global asset tracker

THEFTEX has announced that its Thingfox T2 asset tracking solution has been accredited by Lufthansa, Lufthansa Cargo and Brussels Airlines for use in the tracking of air cargo.

The Thingfox T2 asset tracker is a complete all-in-one solution for any business looking to follow the movements and integrity of its cargo, whether that be transported by sea, land and now approved for use via air cargo.

Uniquely, Thingfox T2 provides global intelligent tracking and route monitoring all

resistant and has status LEDs. It comes complete with multiple sensors, including; temperature, light, shock, magnetic and orientation allowing the user to remotely provision sea, drive and flight modes. The Thingfox T2 also includes “Monitoring Alerts” which automatically alerts the user (via email or sms) should an asset deviate from a pre-prescribed route or location or deviates from sensor ranges like temperature.

“We have developed an all-in-one global asset

managed via a cloud-based client accessed platform and app. A single Thingfox T2 unit costs just £87/€99 with a monthly charge of £4/€5 when the device is in use.

The Thingfox T2 measures just 11.84 x 9.9 x 3.01 cm, weighs in at 119g, is water and dust

tracker which not only provides a versatile and powerful global solution but is a fraction of the cost of inferior alternatives. Accreditation by Lufthansa means we are well placed to take asset tracking to another level,” Andreas Gießler, CEO and founder of Thingfox, said.

LATAM Cargo debuts in Santo Domingo with recurrent cargo flights

LATAM Cargo has debuted its new route, which will fly from Miami to Santo Domingo before continuing on to Colombia / Ecuador.

The new service will operate twice a week at Las Americas José Francisco Peña Gómez (AILA-JFPG) International Airport, arriving in Santo Domingo from Miami and continuing to Colombia and/or Ecuador, thus linking the Caribbean with Latin America.

“The arrival of LATAM Cargo to our country complements and strengthens our air cargo connectivity,” Fabien Gourdon, sales director of AERODOM, said.

LATAM Cargo is serving its new route with the modern Boeing 767-300F aircraft which has 50

tonnes of freight capacity.

“Opening this new route is a true milestone for LATAM Cargo, since this is our first cargo service to and from the Caribbean. We are committed to fulfilling the needs of our customers by providing innovative solutions that offer more and better route options to reach their relevant markets,” Andrés Varela, LATAM Cargo’s Sales Director –North America and Asia, added.

By welcoming LATAM Cargo, AERODOM has highlighted the significant increase in cargo capacity these twice-weekly frequencies represent in consolidating the efforts to transform the country into the Hub of the Caribbean, taking advantage of its strategic geographical location.

Wiremind Cargo appoints Guillermo Medina Moralejo as new VP Business Development

GUILLERMO Medina Moralejo will join Wiremind Cargo on 1st December, as its Vice President Business Development, responsible for sales, commercial strategy and marketing functions.

“Since establishing Wiremind Cargo as a separate air cargo focused entity in November 2021 and subsequently launching CargoStack, we are on a rapid growth path that necessitates professional and stable customer focus. Hence, the expansion of Wiremind Cargo’s leadership team to include a Vice President Business Development,” Nathanaël de Tarade, Chief Executive Officer of Wiremind Cargo said. “With Guillermo Medina Moralejo, Wiremind Cargo is gaining a commercial leader with a track record in implementing customer strategies and driving business growth, spanning air cargo and last mile logistics. Guillermo brings both airline and logistics tech startup experience and we are delighted to welcome him on our growth journey.”

“Wiremind Cargo’s focus on building innovative and high-quality products which have a positive impact on the logistics and transport industry, as well as its courage to launch a new content management system product in a market dominated by established freight tech solution providers, is what attracted me to this company,” Moralejo stated. “As Vice President Business Development, I get to combine two passions of mine: air cargo, which I am excited to return to once more, and engaging with customers. Only once customer pain-points are thoroughly understood, can solutions be modelled in complete alignment with what is required in the market.”

IAG Cargo expands Asia-Pacific capacity with restart between London and Tokyo

items, as well as unique shipments including Japanese dried foods. In 2021, the volume of airfreight handled at Tokyo

Throughout the duration of the pandemic, IAG Cargo maintained its customer offering on this popular trade route via its cargo-only services and worked with interline partners to transport cargo between the regions. The service utilises the bellyhold capacity of British Airways Boeing 787-8 and 787-9 wide body aircraft.

This service will support the flow of pharmaceuticals, made possible by IAG Cargo’s Constant Climate service for handling temperature sensitive goods. Electronics and automotive parts are amongst other popular

Airport in Japan amounted to roughly 828.06 thousand tonnes, up from around 772 thousand tonnes in the previous year.

“It’s great to see the return of our service between London and Tokyo – Japan for many years has played an important role in IAG Cargo’s Far East network. This route not only offers our customers capacity between UK, Europe and Asia, but also facilitates the movement of trade into North and South America. I’m pleased to see these important trade lanes beginning to return after a long-awaited pause due to Covid19,” Rob Wiemerink, Regional Commercial Manager for Asia Pacific and Middle East at IAG Cargo, said.

IAG Cargo, the cargo division of International Airlines Group (IAG), has announced the restart of its direct service between London Heathrow and Tokyo airport with daily flights commencing from 13th November.

Haneda

Silk Way West Airlines invests in new B777-8Fs

SILK Way West Airlines shows no sign of slowing down its record growth, having secured a deal to offer even more cargo capacity in the future. The Azerbaijani cargo carrier signed an order with Boeing for two state-of-the-art 777-8 freighters with options for two additional aircraft, the two companies announced today at the agreement signing ceremony in Everett, Washington. As per the agreement, aircraft deliveries are planned for 2029 and 2030.

This investment will not only enable Silk Way West Airlines, which serves 40 destinations around the world, to further expand its international network and meet growing demand for cargo transport, but will also strengthen Baku as a key international cargo hub.

“We are pleased to announce this order with our longstanding partner Boeing and become one of the world’s first customers for the newest freighter,” Zaur Akhundov, Silk Way Group President, said. “This year Silk Way West Airlines celebrates its 10th anniversary, and over the past decade we have been operating an all-Boeing fleet. Today’s agreement reflects our ongoing investment in Boeing’s market-leading freighters.”

“With sustained demand for air cargo tied to expanding e-commerce and airfreight’s speed and reliability, Boeing expects the global freighter fleet to increase by 60 per cent through 2041,” Stan Deal, President and CEO of Boeing Commercial Airplanes, said.

Gebrüder Weiss targets climate neutrality by 2030

AS a modern logistics service provider, Gebrüder Weiss has set the goal of gradually reducing the company’s carbon footprint to zero with its sustainability strategy GWcares, aiming to make the company’s logistics facilities climate-neutral by 2030.

This is one of the ways in which the company is facing up to its responsibility and contributing to efforts to meet global climate targets. Gebrüder Weiss will be taking a close look at CO₂emissions at all 180 locations. The company has quantified the current CO₂ emissions and energy consumption of its locations in its current Sustainability Report. These emissions are to be reduced gradually – by ten percent per year.

The sustainability report also outlines important measures to be taken in the quest for climate

neutrality and ways in which our modern logistics facilities can harness any and all possibilities available for saving energy and reducing dependence on limited resources. Installing photovoltaic (PV) systems on the roofs of logistics terminals has an important role to play, with 18 such installations already existing at Gebrüder Weiss. Together, these installations generate more than 4,600 megawatt hours of electricity per year and currently meet 18 percent of the group’s electricity needs. The aim is to increase this share by 15 percent each year by further increasing the number of PV installations.

Gebrüder Weiss is also increasing the share of alternative drives in heavy-duty transport and developing low-emission solutions for the last mile.

Envirotainer invests and expands capacity

ENVIROTAINER has extensively expanded its production site in Rosersberg, Stockholm.

This is in response to incredibly high demand for secure, temperature-controlled units to transport vital medicines around the globe. This year alone, the business will add annual shipping capacity of ~200 million more doses. By the end of 2022, Envirotainer will be capable of shipping over one billion vials per year. This site is the largest in the world in terms of output, able to build more units each year than any other. It’s also been designed to allow further expansion in the future.

The Envirotainer fleet covers more than 2,000 pharmaceutical trade lanes in over 100 countries and 300 airports. The business recognises its responsibility to meet the growing need for ways to move everincreasing volumes of vaccines and treatments such as insulin to where they’re needed. Its services help pharma companies meet

Scotland’s busiest airport gets green energy boost

The project at Edinburgh Airport will commence with the deployment of sensors across the roof and outdoor spaces, plus the area surrounding the airport’s 2,556m runway. Using wind mapping data, Katrick Technologies can determine the optimal areas to deploy technology to capture and convert this energy.

Katrick Technologies’ wind panels are a unique innovation for wind-based renewables. The wind panel consists of numerous channelling ducts where multi-layered patented aerofoils are located. These aerofoils work independently from one another to maximise energy capture and convert this energy into mechanical oscillations. From here, the oscillations are converted to a focal point before conversion to energy.

The panels can capture more kinetic energy than conventional wind turbines, while measuring just 4m x 4m and thus demanding a much smaller footprint.

“As an airport we are always looking to embrace fresh ideas, particularly when it comes to the generation of green energy, and this technology has the potential to provide new opportunities around this,” explained Danny Quinn, Technical Asset Director at Edinburgh Airport. “When installed, these sensors have the ability to identify untapped sources of wind energy across our campus, giving us the potential to become more efficient in the way we run. We are pleased to be working with Katrick Technologies and are looking forward to seeing the benefits this partnership can deliver.”

the strictest requirements in pharmaceutical airfreight and include the new Releye® RAP and RLP models, which are the largest and most advanced of their type on the market, combining high capacity with superior features.

“I’m immensely proud of the team’s outstanding efforts and happy to be stepping up production,” Bernt Anderberg, Chief Technology and Supply Chain Officer, said.

“The demand for our services has been skyhigh since the start of the pandemic. The need to safely transport pharmaceuticals while minimising wasted space in precious air cargo has increased dramatically,” Sofie Nordhamren, Head of Quality Control and Production Manager at Envirotainer said.

“The added capacity will help our customers be more efficient, sustainable, and reduce the likelihood of a temperature deviation to virtually zero.”

GREEN energy innovator Katrick Technologies has signed a new partnership with Edinburgh Airport to facilitate the capture of previously untapped wind energy across the airport estate. Katrick Technologies will deploy wind mapping sensors to identify areas of unexploited low-level wind power on the site, before installing innovative wind panels to help the capture and utilise previously unused energy.

air cargo forum Miami and transport logistic Americas offers marketplace for intermodal solutions

logistics.Logistics regions such as Miami, Puglia or countries like Germany secured access to new contacts. At the career day as well as in special sessions, the industry showed how diverse the opportunities in logistics are for young professionals seeking new careers.

“With a doubling of the exhibition space and almost a tripling of the number of visitors compared to the previous event in Toronto in 2018, not only was the importance of trade fairs after the pandemic impressively demonstrated, but also a sustainable impetus was given for future development,” Steven Polmans adds.

“The trade show duo is becoming a working space for international meetings and a place where solutions for intermodal logistics chains are developed together,” Robert Schönberger, Director of transport logistic exhibitions at Messe München, noted.

220 companies and organisations from 31 countries attracted more than 5,900 decisionmakers, specialists and young professionals from business and logistics. For three days, Miami Beach was an international marketplace for intermodal logistics solutions.

“The future of logistics lies in cross-modal supply chain thinking. In close cooperation with Messe München, we have developed an international platform for knowledge exchange and business contacts around our established air cargo forum with transport logistic Americas. We are more than satisfied with the result and truly pleased with the feedback of our members and exhibitors,” TIACA Chairman Steven Polmans said. The two events air cargo forum & transport logistic Americas, which take place side-by-side every two years, has secured its place in the international trade fair scene, as the only intermodal trade show in the United States.

Focus on geopolitics and the environment Worldwide, logistics is suffering from bottlenecks and challenges. Geopolitical conditions and climate change are exacerbating the situation. What counts is customer focused

by a delegation under the umbrella of the “Your German Logistics” initiative.

Ambitious goals achieved

With a total of 5,900 visitors from 78 countries, air cargo forum & transport logistic Americas achieved their ambitious goal. 70 percent of the visitors came from the Americas, of which 60 percent were from the US and Canada. Among international visitors, Germany, the UK, Mexico and Brazil led the way. More than three quarters of the visitors were C-level decision-makers or executives. The conference, run in conjunction with the trade show, featured 90 industry leaders in engaging debate across 22 sessions.

“We feel delighted to have participated in the air cargo forum which brings aviation professionals from all over the world and world-class speakers together. Thanks to the meetings and speeches which probed one by one into each aspect of aviation, we obtained a good deal of new information and explored substantially effective solutions, during the three days. We not only expanded our business network further but also explored new business opportunities,” Turhan Özen, Chief Cargo Officer at Turkish Airlines, stated.

opened many doors for us in the Americas market. Relevant decision-makers from various industries and carriers were on hand for targeted business meetings. This exhibition was a perfect platform for us to showcase our global brand and engage with potential clients and network with carrier partners throughout the region to highlight our global capabilities,” Tobias König, Co-CEO, Rhenus Air & Ocean, added.

Trade show provides a space for meetings Driven by the experience of Messe München, the joint stands in particular were also well received. Four small and medium-sized companies presented themselves at start.hub

Digital community systems to save the air cargo industry billions of dollars

CARGO Community Systems that digitally connect all stakeholders in the air cargo industry on a common platform are the key to overcoming the industry’s greatest challenges, Kale Logistics Solutions’ Chief Executive Officer Amar More told delegates at the TIACA air cargo forum in Miami.

Airport congestion and operational inefficiencies that cost the sector vast sums in labour and result in tonnes of paper waste every year can be eliminated through the implementation of a common platform, changing the industry forever and for the better.

or more in the air cargo value chain, equating to unnecessary costs in labour, wasted time, truck queues, and frequent delays in the transportation process.

As a result, cargo stays on the ground 85% of total transport time, waiting for paperwork to be completed and exchanged.

“Kale estimates that Air Cargo Community Systems can unlock a value of over $9 billion annually for the industry and save the equivalent of 120,000 trees a year by removing unnecessary paperwork, contributing to protecting the environment.”

solutions, digitalisation, operational efficiency and reduced environmental impact. With 220 exhibitors in eleven categories, the show featured international partners for intermodal supply chains. Among exhibitors and visitors, the US was most strongly represented, while Germany had 47, Canada sent 15 exhibitors, and Italy and the UK both had eleven a piece.

“The trade show is ideally placed in Miami. European and German companies have quick access to business partners in the US and throughout the Americas. We have experienced the fair as a melting pot for personal contacts. Intercontinental business relationships for tearproof logistics chains have been established,” Oliver Luksic, Parliamentary State Secretary from the German Federal Ministry of Digital Affairs and Transportation, said, accompanied

“Our participation as an exhibitor at the air cargo forum & transport logistic Americas

“Air Cargo Community Systems act as a true ‘Air Cargo Single Window’ system that eliminates duplication of data entry, reduces unnecessary paperwork, addresses airport congestion issues, enhances the security of the air cargo supply chain and brings shipment visibility to all stakeholders, More said. “As a neutral player in the supply chain, an airport being the anchor of such a platform will transform the whole industry.”

Shipment data is currently re-entered six times

“Across the entire multimodal supply chain, more than $50 billion could be saved in labour and inefficiencies.”

More highlighted the promise of this digital infrastructure as a panelist on the ‘Digitisation – the key for growth’, panel on day three of the TIACA event, which welcomed some 5,000 attendees to the exhibition and conference at the Miami Beach Convention Centre, from the 8th to 10th November.

Edmonton International Airport and CargoAi Win the 2022 Sustainability Awards

THE International Air Cargo Association (TIACA) has announced the winners of the Corporate and Startup/Small Business category for the 2022 Air Cargo Sustainability Awards – Edmonton International Airport (Corporate) CargoAi (Start-up/Small Business).

The TIACA Sustainability Awards, an annual programme run in partnership with one of the leading industry IT solutions providers CHAMP Cargosystems, is now in its third edition. The Awards recognise outstanding businesses and industry initiatives designed to make air cargo more sustainable.

Edmonton International Airport was selected as the winner of the 2022 Air Cargo Sustainability Award – Corporate, for YEG’s Airport City Sustainability Campus. YEG’s Airport City Sustainability Campus is a growing hub of transportation, cargo logistics, manufacturing, sustainability, technology development and tourism. It is an integrated ecosystem that spurs collaboration and innovation

Larry Coyne and Olivier Bijaoui Join the TIACA Hall of Fame

LARRY

cargo forum Miami.

Coyne, well known in our industry not just for establishing Coyne Airways and providing cargo charter flights to the fast-developing CIS countries but also for a strong reputation for providing reliable and secure scheduled cargo services to some of the world’s most difficult to reach destinations, pioneering routes into the Caucases (Central Asia), as well as Afghanistan, Iraq and the oil-and-gas rich Sakhalin Island (Russia). Today’s services have expanded to include Africa, the Gulf and the Caspain regions.

Coyne has shown a passion for the air cargo industry that shined bright during his tenure as Chairman of TIACA. Larry Coyne was also a strong

advocate for security after 9/11, liberalisation of cargo traffic rights and the removal of obstacles to the growth of our industry.

Bijaoui the former Executive Chairman, President and CEO of Worldwide Flight Services (WFS) was selected based on his vision, tenacity and leadership that helped guide handling agents towards becoming global handling companies.

Bijaoui is known for turning cargo handling company SFS into the one of the largest ground handling companies on the globe and the largest cargo handling company. Between 2004 and 2016 he was Executive Chairman, President and Chief Executive Officer of WFS.

Since leaving WFS, Bijaoui launched and founded OB Invest which has recently announced theywill act as an advisor to ground handler Alliance Ground International (AGI) to expand outside of North America.

while fostering the commercialisation of emerging clean technologies.

CargoAi was selected as the winner of the Startup/Small Business category of the 2022 Air Cargo Sustainability Awards. CargoAi will receive a cash prize of $10,000 and the two runners-up will receive $2,500 each. The winner was selected by the audience at the air cargo forum in Miami. CargoAi recently launched Cargo2ZERO, a suite of solutions for forwarders aimed at decarbonising the air cargo industry through use of a CO2 efficiency score.

“We congratulate Edmonton International Airport and CargoAi for winning the 4th Air Cargo Sustainability Awards. We are thrilled to see the progress that has been made in the industry on the path towards sustainability. The winners truly show a spirit of those who strive to do better not just for themselves but to create a sustainable future for the industry and our next generation.” Steven Polmans, TIACA Chair, said.

Coyne, Founder and Chairman of Coyne Airways, and Olivier Bijaoui, former CEO Worldwide Flight Services (WFS), were inducted into the International Air Cargo Association (TIACA) Hall of Fame at air

NORTH AMERICA NAVIGATES 2022’S UPS AND DOWNS

The air cargo market has experienced a series of ups and downs throughout 2022, as the post-Covid rebound was affected by geopolitical tensions, weakening global demand and supply chain challenges. In the latest figures released by the International Air Transport Association (IATA) back in September, North American carriers posted a 6% decrease in cargo volumes in September 2022 compared to the same month in 2021. This marked a decline of 3.4% in performance compared to August.

With that backdrop, exhibitors from around the globe gathered last week in Miami - a key gateway between North and South America - for the industry’s largest trade show of the year. Despite the environment surrounding the sector, air cargo forum (ACF) Miami and transport logistic Americas had a palpable buzz of activity, as people throughout the logistics network mixed again.

While attendees held discussions on the issues facing the industry, as well as opportunites presented by digitalisation and sustainability, business negotiations were taking place throughout the venue. Whether in the road, rail, sea or air sector, companies from all elements of the supply chain were clearly keen to seize on the opportunity of a world that is opening up again.

The US Market

Being based in the Sunshine State, the exhibition inevitably attracted a large array of US-based companies, keen to discuss their plans for the future and how their operations have adapted since attendees last had the chance to meet at an event of this scale.

In recent years, airlines in the US, and abroad, have shown an increased interest in cargo operations, in part powered by the opportunities that emerged during Covid and the need to find alternative ways to keep companies that were suddenly left without passenger traffic financially afloat.

American Airlines expects the company’s fourth-quarter total cargo revenue to be 11% to 13% higher compared with the fourth quarter of 2019, producing an operating margin of between 5.5% and 7.5%. For the first nine months of the 2022

financial year, United Airlines moved nearly 250 million pounds of cargo, reporting an operating revenue of $12.9 billion, marking a 13% increase from 2019. The United Postal Service reported that, in the third quarter of 2022, consolidating operating profit was $3.1 billion, up 7.5% compared to the same period of 2021 and up 6% on an adjusted basis.

Even with the drop in demand being seen at the moment, which has put the airfreight market under pressure, there is still a clear financial opportunity in ensuring that airlines offer a strong slate of cargo services.

Infrastructure challenges

In October, following a survey of 400 stakeholders, the Airforwarders Association (AfA), along with the National Customs Brokers and Forwarders Association of America (NCBFAA) called for a state or federal-backed ‘air cargo support fund’ to tackle the infrastructure crisis faced by the industry.

Warning that the US airfreight sector is facing serious challenges, the survey identified how airports are struggling to keep up with surging levels of cargo, as many find they are close to capacity or don’t have adequate facilities. If left unaddressed, AfA outlined how there could be severe impacts

“There is still a financial opportunity in turning attention towards cargo”

on the economy and jobs throughout the country.

Because of revenue shortfalls over the past two years, the money currently allocated through the Infrastructure Act is expected to go towards passengers, security and safety, meaning there will be insufficient funds to sustain air cargo operations. That’s why both groups believe additional funding is urgently needed if jobs are to be protected and supply chain disruptions are to be avoided.

Across the border

Looking north, it’s clear that there is potential in the region based on the flurry of expansion that is visible in Canada. Among those looking to secure a large slice of a growing market, Air Canada Cargo and WestJet were both prominently located on stands at ACF Miami, showcasing their respective plans.

WestJet Cargo, launched to meet the strong demand of the Canadian market, recently committed to the airfreight market by announcing a partnership with GTA. At the time, Kirsten De Bruin, WestJet’s Executive Vice President of Cargo, was open about her vision for a “bright future” as the company “enters a pivotal moment of competitive expansion.” In April, the company took a step into the freighter market, welcoming the first of four B737-800 Boeing Converted Freighters (BCFs), with plans to potentially further grow the fleet down the line. The proposal will see the Canadian cargo company work to meet the “larger scale needs of Canadian businesses, freight forwarders, shippers and individual customers.”

Air Canada Cargo is showing no signs of slowing down, as it recently expanded its network, fleet and service offering, taking delivery of its third 767 freighter and launching its specialised service for equine transportation. By the end of next year, Air Canada Cargo expects to grow to a total of seven 767 cargo aircraft, with two 777 planes due for delivery in 2024. While the Canadian market is currently a strong area for traffic, Air Canada Cargo’s top team see opportunities further afield in Europe, Latin America and the US.

VIEW FROM THE MAINDECK

DB SCHENKER LAUNCHES CO2-NEUTRAL AIRFREIGHT WORLDWIDE

DB Schenker is expanding its portfolio of cli mate-friendly logistics solutions, opening the next chapter in green transport in airfreight. Customers now have the option of choosing Sustainable Aviation Fuel (SAF) for their air transportation from any airport in the world, regardless of aircraft type and airline. By allocating the biofuel according ly, it is possible to avoid up to 100 percent of CO2 emissions. “We are very proud of our unique pioneering project, which we launched in 2021 with our strong partner Lufthansa Cargo. Today, we are going one step further and building a global green network for airfreight. We have purchased large quantities of biofuel to drive the decarbonisation of our industry. DB Schenker customers can now book SAF virtually on all conceivable routes. It is precisely this new flexibility that is a success factor and good for the climate. Every tonne of biofuel counts,” Jochen Thewes, CEO of DB Schenker, said.

Thorsten Meincke, board member for Air and Ocean Freight at DB Schenker: “Reducing the CO2 footprint in supply chains is not only possible in the distant future, but already today. Yes, sustainability comes at a price. But now there is a choice everywhere and at any time: No DB Schen ker customer still has to use traditional kerosene for its air freight. We hope that this message will give a further impe tus towards sustainability in aviation. Customers who have already tested our SAF offer or are already using it regularly are very satisfied.”

SAF is a proven alternative fuel produced from renewable waste and residues such as used frying oil. The CO2 released during combustion in the engine is exactly the CO2 extract ed from the atmosphere during the photosynthesis of the plants from which the oils are extracted. DB Schenker only uses biofuel that is certified free of palm oil. Currently, SAF is three to five times more expensive than conventional fossil fuel.

Customers who choose to pay the surcharge for a virtual allocation of SAF for their air cargo shipment will receive certification for their ESG reporting for the exact amount of greenhouse gases avoided. While the actual physical use of SAF can take place on different flights, the climate is also protected identically, since the CO2 emissions of a flight or a shipment with conventional kerosene are avoided. This pro cess is called virtual allocation. It can also be applied to the upstream emissions generated during the production and transport of the biofuel.

The new global offering complements DB Schenker’s weekly full charter service between Germany and China, which started in spring 2021 and is still the only regular cargo flight worldwide to be fully covered by SAF. Togeth er with Lufthansa Cargo, more than 150 return flights have already been operated between Frankfurt and Shanghai, which have avoided a total of more than 40,000 tonnes of CO2e. Individual SAF agreements with other airline partners, such as the recent acquisition of SAF credits from Singapore Airlines, will also be continued.

Brussels Airport to host TIACA’s Executive Summit 2023

THE International Air Cargo Association (TIACA) announced that Brussels Airport will host the Executive Summit 2023. The Executive Summit 2023 will be held 6-8 November, 2023 at the historic Skyhall, former airport terminal.

TIACA is working with Brussels Airport to organise a first class conference, which will bring together over 300 decision makers from across the globe to network, showcase their companies and products, as well as learn and debate pressing issues affecting the entire industry.

“What has been so special about the Executive Summit in recent years is that it focuses on topics that matter to our industry and connects attendees with new ideas to develop and build upon.” Steven Polmans, TIACA Chair, said.

Brussels Airport will welcome the delegates and the local BRUcargo airport community to Skyhall on 6th November for an evening Welcome Reception to kick off the conference. Brussels Airport and TIACA will work together to develop a two-day conference programme for 7th and 8th November, that includes a series of panel sessions, fireside chats and keynote sessions that will cover issues affecting the industry and challenge the day-to-day norm. After the first day of conference sessions, Brussels Airport will take delegates downtown on their electric buses to experience an evening of local hospitality in the capital of Europe.

“We are thrilled to have been chosen by TIACA to host their 2023 Executive Summit. As a strong supporter of international collaboration and exchange, together with our community organisation Air Cargo Belgium, we are honoured to welcome the executive members of the leading air cargo community to the heart of Europe, at Brussels Airport’s SkyHall,” Arnaud Feist, CEO of Brussels Airport, said.

“The partnership with TIACA and its members never stops inspiring, and this is now a unique opportunity to also share some of our innovations, successes and investments that embody our strategy at Brussels Airport,” Geert Aerts, Chief Cargo & Real Estate, said.

“We are excited to bring the next Executive Summit to Brussels Airport, not just because it is my home airport and will always have a soft spot in my heart but because Brussels Airport and their cargo community are constantly innovating and developing new ways to cohesively move cargo. The Executive Summit will showcase their strengths and we as an industry can use this to learn and grow,” Steven Polmans, TIACA Chair, added.