Trends and trade

Trends and trade

The airfreight industry in Europe is evolving rapidly, driven by several key trends. The e-commerce boom plays a major role, with consumers demanding faster and more reliable delivery options. This demand makes airfreight essential for transporting high-value, time-sensitive goods quickly and securely. 

Supply chain disruptions, such as port congestion and container shortages, also influence the market. Businesses increasingly turn to airfreight to keep their supply chains moving smoothly, as it offers a dependable alternative to ocean shipping. 

Geopolitical tensions add another layer of complexity, causing fluctuations in global trade dynamics. These tensions make airfreight capacity tight and demand unpredictable.  

Despite these challenges, the need for efficient and reliable air transport remains strong. While much of the intra-European freight still travel by road, the demand for airfreight on long-haul routes remains robust. Routes connecting Europe with the Asia-Pacific region and North America are particularly critical, where the speed and efficiency of air transport are essential for international trade. 

“At Newcastle Airport, we handle these trends effectively. Our strategic partnerships and capabilities ensure that we handle goods with the utmost care and efficiency, whether dealing with high-value e-commerce products, high-tech goods, or navigating supply chain disruptions. We support businesses every step of the way,” Aileen Wallace, Cargo Business Development Manager at Newcastle International Airport, stated.

“Newcastle Airport is positioning itself as a key strategic air cargo gateway within the UK by offering efficient operations, excellent transport links, and a comprehensive freight village. The Airport provides late drop-off times and faster collection times, which attract businesses needing quick turnaround. 

“To sustain and build upon its cargo growth, Newcastle Airport plans to continue enhancing its facilities and strengthening partnerships with key airlines and logistics providers. 

“By improving cargo handling facilities to accommodate increasing volumes and maintaining strong relationships with partners, the Airport ensures a steady flow of cargo. These efforts are crucial in sustaining the impressive growth experienced in the first half of 2024 and positioning Newcastle Airport as a leading air cargo gateway.”

Milestone year

Newcastle Airport has handled 4,650 tonnes of cargo year to date, this is an 81 percent increase on the same period in 2023 and a record-breaking figure for the first three quarters of the year. 

Strategic partnerships played a vital role in this achievement. Close collaboration with major airlines, such as Emirates, boosted cargo volumes. These partnerships expanded the Airport’s reach and capacity, allowing it to handle more cargo. 

“Newcastle Airport has become a valuable gateway for airfreight, with key trade lanes to destinations like Dubai, Shanghai, Melbourne, and Johannesburg. Emirates’ daily service to Dubai is particularly crucial, providing connections to over 130 destinations worldwide,” Wallace outlined.  

“There is a notable opportunity to expand into the North American market, which remains largely untapped from the North East. Establishing direct routes to key US hubs could greatly enhance Newcastle’s connectivity and open new growth avenues for airfreight operations. 

“By leveraging its strategic location and strong partnerships, Newcastle Airport can continue to strengthen its role as a key air cargo gateway. Exploring new routes, especially to the American market, will be essential in sustaining and building upon the impressive cargo growth experienced in the first half of 2024.”

Connected freight village

The freight village at Newcastle Airport aims to enhance logistics efficiency for import and export activities through several key features.  

Offering a wide range of facilities for freight processing, including warehousing and transit sheds, it is equipped to handle various types of cargo. Onsite partners quickly process and customs clear imported goods, significantly reducing delays and improving overall efficiency. Ground handling agents (GHAs) collaborate strongly to ensure seamless coordination and efficient cargo handling, streamlining operations and improving service quality. 

Advanced digital systems enhance logistics efficiency, ensuring transparency, accountability, and high standards of service. These measures help maintain consistent communication with stakeholders. Newcastle Airport and its partners prioritise customer relations by offering tailored solutions that meet clients’ specific needs, helping build long-term relationships and trust.  

The planned development of Site A will further enhance the airport’s cargo handling capabilities, providing additional capacity and modern facilities to support growing demand. 

“Newcastle Airport supports multimodal transport solutions by integrating road connections with its air cargo operations. The Airport maintains close relationships with local transport providers and ports, ensuring seamless connectivity for cargo,” Wallace stated.

“This collaborative approach enhances connectivity in the North East and drives the region forward. By fostering these partnerships, Newcastle Airport not only improves its own operations but also contributes to the broader economic development of the region.”

Economic growth

This year, the North East Combined Authority was formed, with a devolution deal that give the North East improved powers and funding. The North East Combined Authority’s ambitions to grow the North East economy are underpinned by an increase in international investment and trade. Both the newly formed Authority, and the Transport for North’s Strategic Transport Plan, recognise the vital role that Newcastle Airport will continue to play in the region’s future economic growth. 

“Newcastle Airport is proud of its strong strategic partnerships which help to deliver high levels of good exports per head per year (£8,351, compared to the England average of £7,360),” Wallace explained. 

“By collaborating with bodies such as the North East of England Chamber of Commerce, the Airport enhances trade opportunities and supports local businesses in expanding their reach both domestically and internationally. Leveraging our logistics capabilities, make the region attractive to new businesses and create a robust environment for international trade.”

Newcastle Airport has partnered with other organisations, such as the Department for Business and Trade (DBT) to promote international trade and investment. The Airport’s continued expansion in cargo operations supports future investment, leading to job creation and providing critical support to local businesses.

The Airport’s collaboration extends to other key stakeholders, including the North East Automotive Alliance (NEAA), Advanced Manufacturing Forum (AMF), and North East Pharma. These partnerships foster innovation, strengthen logistics, and enhance the export of regional products, further contributing to the region’s economic growth. 

“Through our collaborative efforts with regional stakeholders, we seek to enhance trade opportunities and support local businesses to expand both domestically and internationally. These partnerships help foster innovation, improve logistics, and promote international trade and investment, creating a dynamic environment that strengthens our economy,” she continued.

Picture of Edward Hardy

Edward Hardy

Having become a journalist after university, Edward Hardy has been a reporter and editor at some of the world's leading publications and news sites. In 2022, he became Air Cargo Week's Editor. Got news to share? Contact me on Edward.Hardy@AirCargoWeek.com

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