By Jennifer Chang    Photo：CANVA

E-commerce is a godsend for the air cargo industry. In the evolution of the global supply chain, the rise of e-commerce has sparked a transformation in the logistics supply chain operation modes.

Various supply chains have been challenged, moving from traditional logistics distribution to more efficient e-commerce platforms.

The rapid transportation of e-commerce goods and real-time information circulation have promoted transparency and efficiency in the supply chain.

At the same time, the logistics supply chains adapting to e-commerce demands face new challenges such as cost, speed, and flexibility, forcing businesses to continuously innovate to adapt to this new era of supply chain operation.

According to the latest report from Xenata, the global air cargo market maintained a remarkably strong start in February 2024, with demand achieving double-digit growth for the second consecutive month, and general cargo freight rates also experiencing an increase.

E-commerce continues to thrive, with its impact on the global air cargo industry becoming increasingly significant. Currently, e-commerce cargo already accounts for 20% of the total volume of global air cargo, highlighting its importance and influence in the aviation transportation sector.

According to forecasts by the International Air Transport Association (IATA), e-commerce cargo share of air cargo is expected to rise to 30% by 2027. Another data point indicates that in 2022, one out of every five air freight packages originated from online shopping orders.

Forecasts for the next five years suggest that this ratio will increase to one out of every three packages originating from e-commerce orders. These pieces of information reflect the unstoppable impact and potential of e-commerce logistics on the freight industry.

This trend not only challenges the operational models of air transport companies but also brings them more opportunities and room for growth. With the continuous expansion of the e-commerce market and increasing consumer demand for rapid delivery, the air cargo industry will continue to usher in a vibrant new era of development.

As people increasingly rely on online shopping for everyday essentials and electronics, air cargo services will play a crucial role in meeting the growing demand for rapid delivery.

Consumers purchasing through e-commerce may find sea freight transportation intolerable due to lengthy shipping times, especially exacerbated by turmoil in the Middle East, the Red Sea, and the Suez Canal region. Until these issues are resolved, more goods may shift towards air cargo transportation.

Additionally, as e-commerce expands to encompass a wider range of product categories, from furniture to appliances and even automobiles, these items are readily available on online shopping platforms. This broadening scope of products will also contribute to the increased demand for air cargo services.

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