The pandemic caused an economic disaster for the airline industry, which has lost an estimated $200 billion as a result, but it was a different story for the air cargo sector.
Not only did cargo operations generate revenues and sector profits for nearly grounded passenger carriers but also air cargo played a substantial role and visible role as the world sought to recover.
In fact, the final session at the International Air Transport Association annual meeting in Boston was entitled: “What’s Next for Air Cargo After its Heroic Performance in the Covid-19 Crisis?” The event, which attracted about 600 from the airline industry and media, concluded last week.
During the final session, the CEO of FedEx Express recalled the widespread exhilaration when FedEx and UPS made their first vaccine deliveries in December 2020, while a Qatar Airways cargo executive recalled how exhausted employees worked long shifts to make sure that medical supplies were delivered around the world.
At US passenger airlines, the cargo divisions, which have periodically been overlooked, gained new prominence that isn’t likely to dissipate.
Jessica Tyler, American Airlines president of cargo, said cargo “has always been a really important strategic level for our organization, (but) we haven’t in the past always been that early-on involved in the network decisions.”
When the pandemic began, Tyler said, “The dramatic drop in passenger demand had everyone scurrying around making decisions (such as) to stop flying and park airplanes. Cargo wasn’t a driver.” However, executives came to realize that cargo operations became far more important in the absence of passenger flights, particularly international flights. Normally, passenger aircraft deliver…