**CMA CGM Air Cargo begins trans-Pacific service to Chicago**
European Cargo Airlines Expand Routes from Asia with New Boeing 777 Freighters
Two cargo airlines owned by leading European shipping companies have initiated new routes from Asia using Boeing 777 freighters, responding to the growing demand for export capacity in the region.
On Tuesday, CMA CGM Air Cargo announced the launch of its trans-Pacific commercial service with the first of three 777-200 freighters ordered from Boeing. The inaugural flight took place on Sunday, traveling from Hong Kong to Chicago with a refueling stop in Anchorage, Alaska, and returning to Hong Kong via Seoul, South Korea.
CMA CGM, one of the largest container lines and logistics providers globally, is partnering with all-cargo operator Atlas Air for its aircraft operations, as the Paris-based airline lacks traffic rights from the U.S. to transport goods directly from other countries without first stopping in France. The addition of the 777 freighter marks a significant expansion for CMA CGM Air Cargo, as routes from Asia to North America typically yield higher profits than those in other regions.
“We are thrilled to extend CMA CGM Air Cargo’s reach to the United States, a key market for our Group,” stated CEO Damien Mazudier in the announcement.
Boeing is set to deliver another freighter in the fourth quarter, which will serve routes between mainland China and North America. With two freighters planned, CMA CGM will operate a total of seven weekly flights on the trans-Pacific route. The company anticipates receiving a third 777 freighter in the first quarter of 2025, bringing its total fleet to five 777 aircraft for global cargo transportation. Currently, two existing freighters are engaged in routes between Europe and the China region, with five weekly flights to Hong Kong and four to Shanghai. Additionally, CMA CGM operates three Airbus A330-200 cargo jets within Europe and to China.
The 777-200 freighter, known for its substantial capacity, can carry a maximum payload of 226,000 pounds.
CMA CGM introduced the airline to provide customers with more shipping options in line with its strategic shift from solely a port-to-port ocean carrier to a global integrated logistics company capable of door-to-door delivery. This approach mirrors a similar strategy pursued by Maersk, a key competitor in the ocean shipping and logistics sector.
Air cargo capacity from Asia to Europe and the U.S., particularly flights from China, is currently under significant strain due to a surge in cross-border e-commerce shipping, limitations on ocean freight as a result of hostilities in the Red Sea, and ongoing trade tensions that have restricted the full resumption of widebody passenger services between the U.S. and China. Shippers have reported challenges in securing space on all-cargo aircraft for critical trade routes originating from China, Hong Kong, and other Asian locations.
In response to the heightened demand, carriers are reallocating aircraft from other regions to capitalize on the substantial rate increases in the Asia market. Shipping rates from Shanghai to North America surged by over 25% in July compared to the previous year, while rates to Europe rose by 44%, according to the TAC Index.
As of late July, airfreight rates from China and Hong Kong remained significantly above typical summer levels, with prices around $5.72 from Hong Kong to North America and $4.50 to Europe, and are expected to rise above peak-season levels in the upcoming fourth quarter.
In another development, Atlas Air announced on Thursday that it has leased three Boeing 747-8 freighters from BOC Aviation to meet the robust demand from the e-commerce sector, with plans for them to enter service late in the third quarter.
**Maersk Air Cargo**
Maersk Air Cargo has also stepped up its operations, having recently deployed its first 777 freighter, which is set to commence scheduled commercial service in September. The cargo terminal subsidiary of Hong Kong-based Cathay Pacific announced on July 26 that it welcomed Maersk as a new customer, highlighting the inaugural flight to Maersk’s base in Billund, Denmark. Maersk plans to use the aircraft on an established route between Billund and Hangzhou, China.
So far, the airline has conducted ad hoc flights from Billund to Birmingham, England, and to Hong Kong with a stop in Navoiy, Uzbekistan, for crew training until full service authorization is obtained from relevant authorities. Maersk has indicated plans for three weekly flights to China, with the frequency expected to increase to six flights upon the delivery of the second 777. Horn mentioned that Boeing is anticipated to deliver this aircraft next month.
In addition to the new 777 freighters, Maersk Air Cargo operates a fleet of 20 Boeing 767 cargo jets, most of which are converted freighters working under contract for UPS and other express carriers in Europe. In late 2022, Maersk began offering 767 service between Asia and the U.S., partnering with Miami-based Amerijet to operate the factory-built aircraft. Destinations in its trans-Pacific network include Zhengzhou and Shenyang in China, Seoul, Chicago-Rockford, and Greenville-Spartanburg in South Carolina.
