Cathay Pacific experienced a rebound in air cargo volumes in June, following a slight slowdown in May, as the airline continues to restore connectivity at Hong Kong International Airport (HKIA). The airline carried 111,210 tons of cargo last month, marking a 6.4% increase compared to June 2022.
Month-on-month, June’s performance also showed improvement, surpassing the 109,834 tons handled in May. This follows 109,372 tons recorded in April and 121,776 tons in March.
E-commerce Drives Growth Amid Flat Demand
“Summer is typically a slower season for cargo, and as expected, overall demand in June remained flat. However, e-commerce has been a bright spot, helping to sustain volumes,” said Lavinia Lau, Cathay’s Chief Customer and Commercial Officer.
In June, cargo revenue ton kilometers (RFTKs) rose by 16.3% year-on-year. However, the cargo load factor dropped by 6.7 percentage points to 61.7%, while capacity, measured in available cargo ton kilometers (AFTKs), increased by 29% year-on-year.
For the first half of 2023, Cathay reported a 23.8% increase in tonnage compared to the same period in 2022. This growth was accompanied by a 117.6% rise in capacity and an 83% increase in RFTKs.
Demand Expected to Rise by Late Q3
Looking ahead, Cathay anticipates a quiet summer for cargo but expects demand to pick up towards the end of the third quarter.
“Although cargo demand is expected to remain flat throughout the summer period, we are already preparing for demand to pick up in the latter part of the third quarter,” Lau said. She added that additional capacity will be deployed on key transpacific routes to meet this anticipated demand.
Investments in Cargo Operations and New Branding Campaign
Cathay Cargo continues to invest in its operations, recently launching its new brand campaign, “We Know How”, and unveiling its first Boeing 747-8F freighter in the updated Cathay Cargo livery. The campaign highlights the airline’s tailored cargo solutions, emphasizing efficiency, expertise, and reliability in handling shipments.
In addition, Cathay Cargo and the Cathay Cargo Terminal achieved IATA Center of Excellence for Independent Validators (CEIV) Lithium Batteries certification in June. This certification underscores the airline’s commitment to safely handling lithium battery shipments by adhering to the highest industry standards.
With these initiatives, Cathay Cargo is positioning itself as a leader in air freight, ready to meet future demand with enhanced capabilities and customer-focused solutions.
©Apex Asia Media Ltd.