Cathay Pacific Cargo overcame stiff challenges in 2021 to help Hong Kong regain its global crown as the number one airport for international airfreight.
Tom Owen, director of cargo at Cathay Pacific, says of the cargo airlift: “It reinforced our belief in the importance of a combination carrier strategy where you have a passenger widebody network and a cargo freighter fleet working interchangeably. Having a diversified approach proved very helpful for Cathay Pacific in the last years.” Reports www.aircargonews.net
Owen recalls that April 2021 was the most severe month in terms of Covid-related restrictions: “The situation improved from May onwards, with cargo demand increasing as we entered the peak for the second half. In terms of cargo capacity, the second half of 2021 was actually very strong.”
In 2021, the carrier operated 8,000 pairs of cargo-only passenger flights with B777s, A350s and some A330s, plus six B777 passenger aircraft with the seats stripped out.
In addition to its own freighters, Cathay also had charter flights from the group’s Air Hong Kong freighter arm to meet increased demand.
“We carried a range of daily necessities: fresh products, vaccines, electricals and pharmaceuticals. We supported Hong Kong during those difficult times. We were also doing our bit in supporting trade.”
Owen adds: “We reached around 57% of pre-pandemic cargo flight capacity in 2021 despite the fact that the passenger side’s ASK (available seat km) was down by some 92%.”
More work to be done
While proud of the digital progress made in airfreight, Owen remains of the view that the cargo industry “still has a long way to go” compared with the passenger business.
“Our capacity levels right now [August 2022] are approaching 60% of pre-Covid capacity and by the end of this year, we would expect to be at about two-thirds of our pre-Covid cargo capacity in terms of passenger widebody and freighters.
While Cathay is operating a full freighter schedule, passenger operations are at around 16% of pre-Covid levels, given the restrictions still in place in Hong Kong.
Additional cargo capacity from Hong Kong to the rest of Europe is planned for later this year.
In other links, Owen highlights a “very good partnership” with LATAM Cargo as a gateway to South America with better connectivity between Chile and South American points generally to Hong Kong and the Chinese mainland.
“We are moving Ultra Track onto LATAM Cargo’s metal so customers have a seamless service all the way through to their final destination from South America to wherever it is headed over Hong Kong or vice versa.”
Peak season perishable shipments from November to January will provide capacity for South American fruit producers into Hong Kong and then to Asian destinations and the Chinese mainland.
He concludes: “Airfreight has proven itself a very effective way to support constrained supply chains and that will continue for a fair bit yet. Plus, there are new [consumer] products coming, so it is not all doom and gloom.”