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Air cargo

Seock-Jin Hong

Chapter 15 in Research Handbook on Air Transport Management, 2026, pp 195-207 from Edward Elgar Publishing

Abstract: Air cargo accounts for 35% of global trade value, primarily driven by e-commerce. However, revenues will drop by 2025 due to competition, economic volatility, and infrastructure challenges. The East Asia to North America route remains the largest, dominated by integrators like DHL and FedEx. Combination carriers need to leverage developed road feeder service networks to stay competitive, targeting high-revenue markets and time-sensitive deliveries. A collaborative model, exemplified by the joint venture between DHL and Lufthansa (AeroLogic), effectively utilises cargo-dedicated aircraft, passenger aircraft belly space, and road transport, creating a global door-to-door service. This approach offers advantages like tailored supply chains and enhanced capabilities for special cargo but increases organisational complexity and demands employee flexibility. To ensure future growth in the air cargo sector, embracing technological advancements and sustainability initiatives is crucial. This strategic focus will help operators navigate challenges and capitalise on emerging opportunities in the evolving market landscape.

Keywords: Combination carriers; Integrators; Cargo-dedicated aircraft; Supply chain strategy; E-commerce; Digitalisation (search for similar items in EconPapers)
Date: 2026
ISBN: 9781035336272
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