Aviation Freight & Cargo Market by Cargo Type (General Cargo, Special Cargo), Service (Express, Freight, Mail), Destination, End-Use - Global Forecast 2024-2030

Aviation Freight & Cargo Market by Cargo Type (General Cargo, Special Cargo), Service (Express, Freight, Mail), Destination, End-Use - Global Forecast 2024-2030

The Aviation Freight & Cargo Market size was estimated at USD 142.03 billion in 2023 and expected to reach USD 153.24 billion in 2024, at a CAGR 7.91% to reach USD 242.13 billion by 2030.

Aviation freight and cargo refer to the transportation of goods, products, and materials via air. This mode of transport is a vital component of the global supply chain as it facilitates international trade, economic growth, and connectivity between countries and regions. Aviation freight and cargo are used for the transport of dangerous goods, live animals, perishable cargo, wet cargo, and time and temperature-sensitive products. The growth and demand for aviation freight & cargo can be attributed to rising globalization and increased cross-border trade activities. Additionally, the rise in e-commerce has significantly contributed to the demand for rapid parcel delivery services. However, high operational costs due to fuel price volatility or maintenance expenses are major concerns affecting profit margins for stakeholders within this sector. Furthermore, environmental concerns and security issues of using aviation freight and cargo services for the delivery of goods also contribute to reduced adoption. However, efforts by major players to invest in the adoption of renewable and clean energy and sustainable practices in cargo delivery and the upgradation of aviation infrastructure can help circumvent issues related to environmental and security concerns. Incorporation of technologies such as artificial intelligence, sensor devices, machine learning, or IoT in streamlining logistics processes can improve tracking capabilities and reduce human errors.

Regional Insights

The aviation freight and cargo industry in the Americas is highly competitive, with major players operating extensive networks to cater to a broad range of industries such as e-commerce, pharmaceuticals, perishables, and high-value electronics. The robust growth in e-commerce has fueled the demand for expedited shipping services, which have further driven investments in air freight fleet expansions as well as innovative technologies for optimizing operations. Efforts are being made by governments in Latin America to invest in airport development projects to facilitate seamless trade with North America and beyond. The aviation freight & cargo industry in Asia is growing rapidly due to strong economic growth in countries including China and India. Technological advancements such as the implementation of electronic air waybills (e-AWB) have streamlined cargo handling processes across major Asian hubs, providing greater efficiency to shippers worldwide. Moreover, strategic alliances among key airlines and market players have expanded their service offerings, enabling them to cater to diverse customer needs more effectively. Europe’s aviation freight & cargo industry has a long history of innovation and collaboration. Major regional players provide extensive coverage across the European continent as well as international routes.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Aviation Freight & Cargo Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

• Growing international trade of high-value or temperature-sensitive pharmaceuticals
• Expansion of online retail with emphasis on fast delivery of products
• Wide availability of third-party airfreight services offering multiple services

Market Restraints

• Capacity limitations and weight & size restrictions

Market Opportunities

• Digitalization and automation in cargo handling and tracking of the freight
• Investments in the expansion of aviation cargo and freight hubs

Market Challenges

• Security concerns related to aviation cargo & freight

Market Segmentation Analysis

• Cargo Type: Advancements in special cargo to improve its potential to maintain product integrity throughout transit
• Service: Preference for express services by industries requiring rapid delivery times
• Destination: Rising number of cross-border trade activities leading to adoption of aviation freight and cargo
• End-Use: Demand of commercial users for efficient logistics operations driving utilization of aviation freight and cargo services

Market Disruption Analysis

• Porter’s Five Forces Analysis
• Value Chain & Critical Path Analysis
• Pricing Analysis
• Technology Analysis
• Patent Analysis
• Trade Analysis
• Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Aviation Freight & Cargo Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Aviation Freight & Cargo Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

WestJet Cargo Continues Expansion with New Cargo Route

WestJet Cargo has launched its first cargo route to Havana, the capital of Cuba. While initially focusing on service within North America, the airline has plans to expand into Latin America to further enhance the efficiency and effectiveness of WestJet's cargo operations.

Forward Air and Omni Logistics Merge

The aviation freight and cargo industry has witnessed a significant development with the merger of Omni Logistics and Forward Air. The newly formed company specializes in providing high-value less-than-truckload (LTL) services, catering to local pick-up and delivery, shipment consolidation/deconsolidation, warehousing, customs brokerage, and value-added services for time-sensitive freight. This strategic merger is aimed to foster stronger customer relationships and deliver unparalleled service by leveraging the combined capabilities of both companies.

MSC Boosts Air Freight Operations with Takeover of Italian Carrier AlisCargo

Mediterranean Shipping Co. has acquired AlisCargo Airlines, an Italian all-cargo carrier, as part of its expansion in the airfreight industry. This strategic acquisition aims to enhance and provide customers with a consistent and high-quality offering.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Aviation Freight & Cargo Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Aviation Freight & Cargo Market, highlighting leading vendors and their innovative profiles. These include AirBridgeCargo Airlines, Limited, All Nippon Airways Co. Ltd, Asiana Airlines Inc., Bollore Logistics LLC, British Airways PLC, Cathay Pacific Airways Limited, Deutsche Lufthansa AG, DHL International GmbH, FedEx Corporation, Hellmann Worldwide Logistics GmbH & Co. KG, International Consolidated Airlines Group SA, Kuehne + Nagel International AG, Magma Aviation Limited, Nippon Express Co. Ltd., Singapore Airlines Limited, The Emirates Group, and United Parcel Service Inc..

Market Segmentation & Coverage

This research report categorizes the Aviation Freight & Cargo Market to forecast the revenues and analyze trends in each of the following sub-markets:

• Cargo Type
• General Cargo
• Special Cargo
• Service
• Express
• Freight
• Mail
• Destination
• Domestic
• International
• End-Use
• Commercial
• Private

Region

• Americas
• Argentina
• Brazil
• Canada
• Mexico
• United States
• California
• Florida
• Illinois
• New York
• Ohio
• Pennsylvania
• Texas
• Asia-Pacific
• Australia
• China
• India
• Indonesia
• Japan
• Malaysia
• Philippines
• Singapore
• South Korea
• Taiwan
• Thailand
• Vietnam
• Europe, Middle East & Africa
• Denmark
• Egypt
• Finland
• France
• Germany
• Israel
• Italy
• Netherlands
• Nigeria
• Norway
• Poland
• Qatar
• Russia
• Saudi Arabia
• South Africa
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year