Decrease in C-commerce Cargo Volume and Achievements in Pharmaceutical Transport
"Building a Sustainable Cargo Business Model"
Air Premia announced on May 9 that it is shifting away from a sales structure centered on existing Chinese e-commerce (C-commerce) cargo, and is increasing the proportion of high value-added special cargo, such as pharmaceuticals, corporate logistics, and fresh food.
As of last month, C-commerce cargo accounted for 50.9% of cargo bound for the United States, a significant decrease from 85% in the same period last year. The remainder consisted of high value-added cargo such as mobile phones and auto parts (29%), special cargo such as pharmaceuticals (5.2%), and fresh food (3.3%). Air Premia explained that this is the result of ongoing strategic changes since it began its own cargo operations in January this year.
Additionally, at the end of last month, Air Premia received the 'CEIV Pharma' certification for pharmaceutical air transport quality from the International Air Transport Association (IATA), and is also working to obtain certification for fresh food transportation. The company has started collaborating with a global logistics platform company in the United States, which has simplified the e-commerce transportation process. Air Premia is also diversifying the types of general air cargo exported to the United States, including cathode materials, mobile phones, and auto parts.
Currently, Air Premia operates on seven routes: Los Angeles (LA), New York, San Francisco, Bangkok, Narita, Danang, and Hong Kong. Including its interline (route connection) network, it provides global cargo services on a total of about 90 routes. In July, the company plans to further strengthen its cargo transportation capabilities on North America and Pacific routes by launching a new service to Hawaii.
An Air Premia representative stated, "In January this year, we reorganized our structure to advance our cargo business, and we are also focusing on expanding our workforce and strengthening our information technology (IT) systems in order to proactively respond to rapidly changing global demand." The representative added, "Based on our route strategy, organizational capabilities, and cargo infrastructure innovation, we will continue to build a sustainable cargo business model."
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