Jul 15, 2024
Asia’s strategic position, coupled with its rapid economic growth and industrialisation, has made it a key area for airfreight operations. Countries like China, Vietnam, Japan, South Korea, India, Thailand, and Malaysia have growing manufacturing sectors that heavily rely on airfreight for the importation of raw materials and the exportation of finished goods.
“This significance is mirrored by Etihad Cargo’s focus on the region, which enables us to support our customers in the APAC region and beyond,” Jacqueline Han Lin Ni, Area Manager at Etihad Cargo, outlined.
“Etihad Cargo has enhanced its operations in the APAC region to deliver efficient and extensive service options to our customers, providing robust capacity on key trade routes through both passenger and freighter flights.
“We offer 18 weekly scheduled freighters from China and Hong Kong, plus three weekly charters from Ezhou to Frankfurt and Guangzhou to Amsterdam via Abu Dhabi. Additionally, we operate four weekly freighters from Hanoi, Vietnam. This expansion supports our growing passenger network, which now includes new destinations such as Osaka, Bali, and Jaipur.
Market potential
As Asia’s key role develops, Etihad Cargo has continuously expanded its operations in the market to meet the capacity needs of its customers.
For example, the carrier has enhanced its e-commerce services in response to the rapid growth of online retail, particularly in garments, which requires reliable and speedy airfreight in Asia.
“Thanks to this, Etihad Cargo has secured extended e-commerce contracts with key partners ensuring capacity and timeliness,” Ni cited.
In addition to e-commerce, perishables and pharmaceuticals are significant segments of the carrier’s operations in Asia, accounting for 15-20 percent of its original cargo. Etihad Cargo has responded to increased demand in these areas, particularly from India—an emerging healthcare hub—by offering specialised transportation solutions.
“Our CEIV Pharma-certified PharmaLife product ensures precise temperature control and advanced packaging, meeting the stringent requirements of pharmaceutical transportation and ensuring the safe and reliable transportation of high-value, temperature-sensitive cargo,” Ni highlighted.
Furthermore, the consumer electronics and high-tech industries are rapidly expanding sectors in Asia. In response to the need for safe transportation of electronics, Etihad Cargo introduced SecureTech, an IATA CEIV Li-batt-certified product for high-value electronics.
“We have already achieved a significant 51 percent increase in electronics shipments in 2024 and a 900 percent rise in semiconductor volumes in 2023 compared to the previous year. These enhancements underline our commitment to fulfilling the evolving needs of our customers, ensuring Etihad Cargo remains the air cargo partner of choice,” Ni explained.
Positioned through partnerships
Etihad Cargo’s strategic partnerships, particularly with China’s SF Airlines, have been pivotal in enhancing the position of the United Arab Emirates (UAE) as a global cargo hub, fostering strong links between the UAE and Asia.
“This collaboration has expanded our operational footprint, increasing our scheduled freighter service between Ezhou and Abu Dhabi to four flights per week and providing our customers with enhanced access to 25 key domestic destinations in China, including Shenzhen, Hangzhou, Chengdu, and Nanjing, with plans to further extend this reach,” Ni said.
“The inclusion of Ezhou in our network particularly strengthens our connectivity within China’s comprehensive transport infrastructure, aligning with our strategy to tap into the country’s major economic clusters.
“By expanding scheduled freighters and charters, Etihad Cargo can now respond with more agility to our customers’ capacity requirements, reaffirming our commitment to providing accessible and efficient logistics solutions throughout the Asia-Pacific region.
Market diversification
The “China Plus One” strategy, which diversifies manufacturing and sourcing beyond China to other Asian nations, is reshaping logistics in the APAC region. As companies establish more production facilities in countries like Vietnam, India, Thailand, and Malaysia, Etihad Cargo has reported experiencing increased cargo volumes from these emerging hubs.
In response, the carrier is enhancing operations by expanding flight frequencies to these new centres and investing in key regional hubs to improve infrastructure and handling capabilities. This includes upgrading facilities and integrating technologies that streamline processing.
“Leveraging our strategic Abu Dhabi hub, which allows global reach within 17 hours, we are dedicated to not just increasing volume but improving service quality and operational efficiencies,” Ni added.
“We aim to transform Abu Dhabi into a leading global airfreight hub, enhancing our agility and responsiveness to customer needs through strategic partnerships and innovation. This proactive approach helps us rise above competition, providing exceptional value and continuously improving the customer experience.”
The post Linking East and West appeared first on Air Cargo Week.
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Author: Edward Hardy
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