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15. March 2020

DIY Freighter Business on the Rise?

While passenger airlines are constantly having to revise and reduce their flight schedules as, coupled with a greater reluctance to travel by air, more and more restrictions come into play, and belly capacities are disappearing, some freight forwarders are starting to find their own air transport solutions.

CargoFacts Consulting recently published an article bearing the headline “2020: Year of the Freighter,” and certainly – looking at the rapid increase in freighter movements recently, as China’s production returns to between 50%-80% levels, this may well be the case. The recent gap of 39% (or even 59%, depending on which source you consult) less cargo capacity to China needs filling. Some airlines, such as Lufthansa Cargo, are keeping their older planes in service to maximize on the current situation, as freight rates triple. Others, such as Cathay Pacific, are using their empty A330 passenger flights as temporary, additional freighters between Hong Kong, Shanghai, and Beijing, making up at least a third of the capacity offer that an equivalent freighter version would offer.
China’s CAAC is also looking to incentivize passenger airlines to take up operations again, after its six weeks of shutdown, as all Chinese airports except Wuhan, operate normally. (According to CAPA, 04MAR20, the bonus – paid out until 30JUN20 - which qualifying international airlines operating direct flights to China will receive, is CNY0.0176 per available seat kilometer for routes operated by multiple airlines, or CNY0.0528 per available seat kilometer for routes that operated by a single airline.) Yet, whether people are willing to travel – or even to allowed to travel, given the increasingly global shutdowns – remains open. So, cargo capacities remain strained.

Dachser expands existing charter offer to Shanghai, China - image courtesy of Dachser website
Dachser expands existing charter offer to Shanghai, China - image courtesy of Dachser website

Bolloré was the first to move
For a couple of forwarders, these capacity constraints and high rate increases have led them to come up with their own solutions. Bolloré Logistics, who keep a comprehensive corona update on their website, recently published the following under the Airfreight section for China: “Except for Chinese airlines, oversea airlines have suspended passenger flights to/from China until end of March. Our core freighter carriers have also significantly reduced their regular schedule as well. The capacity constraints result in the rate hike ex Europe to China. The charter solutions offered by Bolloré Logistics are addressing this difficulty and helping our customers to have earlier arrival to China to tackle their supply chain needs.” They offer a link to their published flight plan: Appendix: Bolloré Logistics – COVID-19 Air Charter Solutions
The weekly B747F charter operations from Luxembourg to Shanghai, have been running since the start of February and are likely to continue through to April. A spokesperson for Bolloré said that the company was monitoring developments, and also offering intra-Asia charters between China and Southeast Asia: “Customers are extremely pleased that we proactively offer them solutions with a blend of regular hard block capacities and charters offer.”

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Dachser follows suit
In a similar vein, Dachser Air & Sea Logistics has planned a charter schedule between Frankfurt, Germany, and Shanghai, China to commence 16MAR20 and to run until the end of the month. The chartered 747s will be employed to create an air bridge between the U.S., Latin America (São Paulo/Guarulhos, Santiago, Lima, Ezeiza International, Mexico City), and Dachser’s air freight gateway in Frankfurt for deliveries to Shanghai, China, offering “an intelligent solution for transport needs in transpacific trade and responding to the current market situation with flexible solutions” according to the company website.
Dachser’s Head of Global Air Freight, Timo Stroh, explains: “This program puts us in a position to offer a robust and reliable premium air service to Asia for our customers in the Americas as well,” says Timo Stroh. “We are ready for whatever happens on the air freight market in the coming weeks, and fully appreciate being in a position to tackle the challenges of the future today.”
“The new coronavirus is still having a serious impact on capacity in the air freight market. Because the situation is so volatile, capacity planning is becoming a real challenge.”
So, it would appear, certain freight forwarders are rising to the challenge themselves, and mutating into temporary cargo airlines.


Brigitte Gledhill

We always welcome your comments to our articles. However, we can only publish them when the sender name is authentic.

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Comments: 5
  • #1

    Rayhan ahmed (Sunday, 15 March 2020 23:41)

    The only aircraft could have the job
    Was the B707-320C.

  • #2

    Rayhan ahmed (Monday, 16 March 2020 02:37)

    Readers note ; The Boeing 707 C
    Was a convertible aircraft passenger to
    Freighter at this moment we have the
    Boeing 737 700 C but “ NO “ Boeing
    777 C nor A330 C WHY ???????
    ????????????????????

  • #3

    Brigitte Gledhill (Monday, 16 March 2020 10:46)


    Dear Rayhan, The article refers to the passenger aircraft bellies currently being used to carry freight. In other words, aircraft flies void of passengers, but with cargo loads. We are not talking about "Quick Change" freighters such as the A737 used by Lufthansa, for example, in the mid-1990s - which acted as a passenger plane during the day, and a freighter overnight when seat pallets were removed to make way for cargo. Logistically, this is a complex operation, since the aircraft is limited to set routes, given that it needs to regain its seat pallets again. Best regards, Brigitte

  • #4

    Rayhan ahmed (Monday, 16 March 2020 12:09)

    Dear Brigitte
    Sorry my mistake
    I have ramp handled the Lufthansa
    A321/A320 neo at Heathrow both are
    Not convertible aircraft the I have seen
    On the germanwings or eurowings
    A320 were large plates have been
    Bolted to the drive systems .
    And the ELAL 767 that I worked on the
    Ramp were the you could lift the floor boards and it turn into a pallet driven
    Aircraft and put the floor boards down it
    Would turn into a bulk loader .
    The point I was making is convid 19 are
    Making such a impact in passenger
    Carriage ... convertible aircraft could
    Have played a valuable impact .
    Sorry I mislead reading your article thank you for you correction and time you have taken for the feedback

  • #5

    David Moore Transpotrade (Monday, 16 March 2020 14:27)

    Tremendous to see the industry adapt and overcome

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