APAC cargo boom

With a large population base, robust economic growth and global manufacturing hubs, the Asia Pacific (APAC) region has proved to be incredibly and increasingly attractive. 

There are several factors driving this strong growth: chiefly, it’s the continuing development of global e-commerce demand, for which China is the main source of goods, followed by emerging economies such as Vietnam. But there is also strong growth intra-Asia due to increasing wealth and industrialisation driving consumer demand for Western goods. Manufacturing recovery in China and India has also driven an increase in international air cargo demand as businesses shift to air freight amid shipping disruptions.

“With purchasing power in the region having also increased, trade in and out of the region has grown tremendously,” Chaminda Perera, Head of Cargo of SriLankan Airlines, stated. 

The growth in air cargo demand is primarily driven by a combination of passenger demand and the full recovery of operations post-pandemic. The recovery has improved connectivity and capacity in the air cargo sector, with available cargo capacity rising. Growth is also being driven by increased appetite in the market for speed in this region – and by air is the fastest way to move things across the region.

“The region is becoming increasingly attractive to tech manufacturers, further boosting demand for air cargo services,” Francis Antony, Head of Cargo Commercial at Teleport, explained. “We are seeing increased logistics needs coming from the pharmaceutical industry due to rising global demand for medical supplies and medications.” 

e-commerce

e-commerce in all its various forms is really underpinning the market. In the APAC region alone, it has captured a third of the global air cargo market, the highest of any region worldwide.

“The boom…