More Than Just Speed: How Cathay Cargo stays ahead in the world's busiest air cargo hub
With last-minute deliveries becoming part and parcel of an increasingly fast-paced business environment, can air cargo carriers such as Cathay Cargo meet the moment? Produced for Cathay Cargo by BBC StoryWorks Commercial Productions
09 Dec 2024

Not only is the global demand for air freight remaining robust after the pandemic, but customer expectations have also increased as they seek greater speed and visibility for their shipments. Some industry watchers expect the express cargo segment to lead the growth in the air cargo market worldwide, prompting freight forwarders to expand capacity and improve their services to meet the evolving needs of businesses, especially those that rely on urgent deliveries to operate and thrive.


Hence, it's vital for a freight forwarder to stay ahead of trends and the needs of their customers when it comes to time-sensitive shipments. Tom Owen, director cargo at Cathay, shares his insights on trends, solutions for businesses and how Cathay Cargo plans to lead the charge as one of the world's best air cargo carriers.

Tom Owen, Director Cargo at Cathay

Q: What are the key trends in parcel shipping today?

Tom: “The world is speeding up, in the sense that there is a growing expectation for instant gratification – for both consumers and businesses. On the consumer side of things, e-commerce revenue has been growing for years and is showing no signs of slowing down. Along with this, there is increasing demand for faster delivery options when consumers order items online.

Things are not much different for businesses. For B2B (business-to-business) shipments, there is always a huge variety of specialist cargo that needs to get to places quickly, including life science products, perishable items and high-value manufactured goods. From a law firm needing to send an urgent document to a factory requiring a spare part for machinery, you'll find that speed, reliability and visibility of air cargo shipments are of the utmost importance in many scenarios.”

Q: Are you saying that not just any courier will suffice?

Tom: “Exactly. For Cathay Cargo, we recognise the need to continually improve upon our capabilities to deliver what businesses demand. One of the actions we took was to enhance our existing courier service, Cathay Courier, to be able to offer piece-level tracking for urgent documents and packages weighing up to 32kg. This satisfies the need for greater visibility of shipments.

Many businesses also require truly last-minute courier solutions, which means cutoff times for package acceptance is a key consideration. Cathay Courier can accept packages 90 minutes before the flight takes off, as long as bookings are made no later than four hours before departure. At the destination, we can get the package out of the terminal and ready for collection in just 90 minutes after wheels down.

Our logistics are top-notch and we never stop looking at ways to further improve not only the speed of delivery but also the flexibility of delivery options. Depending on their needs, Cathay Courier lets businesses choose between an airport-to-airport solution or include first and last-mile collection and delivery. The first and last mile is handled by our partner Linex, leveraging its worldwide network.”

Inside the Cathay Cargo Hub at the Hong Kong International Airport (HKIA)

Q: How is piece-level tracking made possible?

Tom: “We have a streamlined system in place. At the point of collection, we'll attach a barcode to the package. Throughout the journey, scanners at different points register the barcode and our central system updates the location of the package instantly. Shippers can obtain the latest location status of their package via a mobile app.”

Q: What is the handling process like? And what if there is unexpected disruption?

Tom: “Once Cathay Courier shipments arrive at our warehouse, they're segregated from other cargo and are handled by our dedicated staff, who escort the packages through their own customs lanes.

Furthermore, and this is an important point: Our dedicated fleet of more than 180 passenger and cargo aircraft means we have control of everything. So, in the unlikely event there's an unexpected disruption or delay, the priority of Cathay Courier packages are protected through the system to place them on the next available flight. And for additional peace of mind, we have a dedicated team that monitors the movement of shipments 24 hours a day, seven days a week.

Moreover, we always have the capacity available to fulfil a booking. Cathay Courier packages are first to be unloaded when the plane arrives at the destination.”

Q: Who might rely on Cathay Courier the most?

Tom: “In short, businesses that need high-value and sensitive packages sent quickly with accountability, traceability and first-class service that goes above and beyond. Our cargo terminal and airline are certified to the highest standards when it comes to the shipping of pharmaceuticals, live animals, lithium-ion batteries and perishables, whereas some freight forwarders may not accept such shipments – especially ones that involve complex regulatory and safety considerations. Our versatility and flexibility encourage all kinds of businesses to rely on Cathay Courier for their needs, and we consistently deliver.”

Q: What's next for Cathay Cargo?

Tom: “With Hong Kong as our hub, we're constantly looking to expand our routes strategically. For example, Cathay Pacific recently began flights to Riyadh in response to the significant development happening in Saudi Arabia, complementing Cathay Cargo's existing freighter services to the city. The expansion of the Hong Kong International Airport (HKIA) with a fully-integrated Three-Runway System will also further increase the potential volume of cargo we can handle.”

“We have also enhanced Cathay Expert, our solution for shipping heavy and bulky cargo such as engines, oil pipes, industrial parts or anything with complicated handling requirements. Just like with Cathay Courier, we've digitised and redesigned our processes to further improve the customer experience.”

With other established carriers and air cargo hubs providing intense competition for Cathay worldwide, constantly finding ways to add value for customers is essential for continued growth. As Cathay's Hong Kong hub is within a five-hour flying time of the half the world's population, Tom believes there are immense opportunities to invest in ways that will help Cathay Cargo differentiate itself in the air cargo industry in the years to come, and the key ingredients for success are already there:

“We are very fortunate to have amazing people that embody Cathay's can-do spirit and do great things every day. Our Cargo team enjoys overcoming challenges operationally, while the entire Hong Kong air hub is made up of hardworking people who have built up its reputation over many years, and that makes me incredibly proud and optimistic for whatever the future holds.”

Cathay Courier provides businesses with the assurance and reliability they need for situations where time is everything.

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