Automotive: Driving air cargo success

For air cargo carriers and forwarders, as well as those involved in automotive logistics, there is significant business potential in this specialized segment of the airfreight industry. However, there are also challenges that need to be addressed.

Lufthansa Cargo, a part of Germany’s national airline group, transports automotive spare parts and vehicles worldwide. The company’s well-trained teams handle daily shipments using their own fleet of freighters and cargo space on various airline aircraft. They prioritize using their freighters for whole vehicles due to space requirements. Lufthansa Cargo’s global network and flexible operations cater to customer demands and unforeseen challenges. Automotive shipments make up a substantial part of their business and are not heavily affected by seasonal trends. Around 80% of the shipments pass through Frankfurt, with Stuttgart and Hannover serving as additional origin airports for special cargo.

“We offer scheduled and one-time charters for automotive cargo, providing flexibility and reliability. Our network transports automotive parts using various aircraft. We handle high volumes of automotive loads through Milan, with key stations in Frankfurt and London Heathrow. The automotive logistics market is booming, with a 50% increase in cargo carried compared to last year. Changes in transportation flows and geopolitical issues have led to an increase in air transport of auto parts. Our strategic location in Abu Dhabi allows us to meet specific needs for luxury and sports cars, including recently transporting a unique new car model from the US to the UAE.”

The automotive market’s demand for worldwide air cargo services is strong, particularly in the US, Mexico, China, and India. There is a shift towards electric vehicles, leading to increased demand for airfreight shipping of automotive parts. Lufthansa Cargo aims to provide on-demand and reliable service to ensure uninterrupted supply chains. Geopolitical events and crises affect global supply chains, making airfreight a volatile business. However, the market for automotive shipments by air is currently very strong due to disruptions in sea transport.

Source: Air Cargo News

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