CoverINT 9/21/07 2:42 PM Page 1 WWW.AIRCARGOWORLD.COM OCTOBER 2007 INTERNATIONAL EDITION 2007World Airports Guide Europe Airports • Russia • DHL-Lufthansa Project1 9/17/07 10:38 AM Page 1 01TOCINT 9/21/07 2:41 PM Page 1 INTERNATIONAL EDITION October 2007 CONTENTS Volume 10, Number 8 COLUMNS Airports 10 North America Directory Two issues before the U.S. The Air Cargo World Congress are consuming air 37 2007 World Airports Directo- cargo interests: air cargo securi- ry features U.S. airports by ty and reauthorization of the state as well as section list- FAA budget ing airports in Europe, Asia and elsewhere 13 Europe Re-fleeting, partnerships and new routes are part of the growth plan for Italian cargo carrier Ocean Airlines 16 Pacific While the parent company Europe expands operations, Singapore Airports Air Cargo concentrates on ca- pacity management and joint 18 Several secondary airport ventures to maintain profitability hubs in Europe are making a case for cargo beyond the continent’s more familiar gateways. DEPARTMENTS 2 Edit Note Russia 4 News Updates Power 26 The Russia air cargo in- 68 People dustry is growing, but Sovi- 70 Bottom Line et-era bureaucracy is hold- 72 Events ing back its full potential WWW.aircargoworld.com Air Cargo World (ISSN 0745-5100) is published monthly by Commonwealth Business Media. Editorial and production offices are at 1270 National Press Building, Washington, DC, 20045. Telephone: (202) 355-1172. Air Cargo World is a registered trademark of Commonwealth Business Media. ©2007. Periodicals postage paid at Newark, NJ and at additional mailing offices. Subscription rates: 1 year, $58; 2 year $92; outside USA surface mail/1 year $78; 2 year $132; outside US air mail/1 year $118; 2 year $212. Single copies $10. Express Delivery Guide, Carrier Guide, Freight Forwarder Directory and Airport Directory single copies $14.95 domestic; $21.95 overseas. Microfilm copies are available from University Microfilms, 300 North Zeeb Road, Ann Arbor, MI 48106. 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POSTMASTER and subscriber services: Call or write to Air Cargo World, Customer Care Department, 400 Windsor Corporate Park, 50 Millstone Rd., Suite 200, East Windsor, NJ 08520-1415; telephone (888) 215-6084 October 2007 AirCargoWorld 1 02EditorialINT 9/21/07 2:44 PM Page 2 International Trends & Analysis Editor’s Note Editor Paul Page • [email protected] Managing Editor Robert Moorman • [email protected] Contributing Editors Roger Turney, Ian Putzger, Mike Seemuth Art & Production Director Jay Sevidal • [email protected] Editorial Offices 1270 National Press Bldg., Washington, DC 20045 (202) 355-1170 • Fax: (202) 355-1171 PUBLISHER Doctor Data Steve Prince • (770) 642-9170 • [email protected] he air cargo industry seems to be in a deep funk over its ris- ing direct operating costs and the insistence by some mem- Advertising/Business Office bers of the U.S. Congress that every piece of belly cargo on 1080 Holcomb Bridge Rd. • Roswell Summit T Building 200, Suite 255 • Roswell, GA 30076 U.S. airliners be inspected individually, not screened. (770) 642-9170 • Fax: (770) 642-9982 Even industry lobbyists, who could always be counted upon to cheer up Classified Advertising and Reprints the team, have misplaced their glad hands. Some in air cargo indicate Laura Rickman • [email protected] (770) 642-8036 they’re considering the unthinkable — going to work for businesses where International Advertising Offices morale is high and yields are higher. Something has got to be done before China Japan Beijing Office Masami Shimazaki the therapists take over. Nancy Sun (Sun Junqin) +81-42-372-2769 [email protected] [email protected] Fear not, the situation is not that bad. A healthy dose of air cargo data is all ++86 10 5879 5885 Thailand Shanghai Office that is required to calm the troubled spirit. Chower Narula Isabella Hou (Hou Ying) +66-2-641-26938 Consider this potent Rx from Boeing Commercial Airplanes. In spite of [email protected] [email protected] ++86 (21) 5116 8877 high jet fuel prices, air cargo traffic has climbed in most sectors over the past Guangzhou Ofiice Taiwan Abby Mao (Mao Xiaolin) Ye Chang two years. Overall growth, in revenue tonne kilometers, will [email protected] +886 2-2378-2471 average around 6.1 percent annually over the next 20 years, ++86 20-8732 2965 [email protected] Europe, United Kingdom, Australia, New Zealand “with routes in Asian markets experiencing above-average Middle East Fergus Maclagan David Collison +61-2-9460-4560 growth rates,” Boeing projects. More impressive, perhaps, is +44 192-381-7731 [email protected] [email protected] that air cargo traffic growth will outpace the passenger market Korea Hong Kong, Malaysia, Mr. Jung-won Suh in nearly every major world market over the next 20 years. Singapore +82-2-3275-5969 Joseph Yap [email protected] Feel better? Perhaps a second opinion would be prudent. +65-6-337-6996 [email protected] The Air Transport Association said in a recent economic re- port that cargo revenue among U.S. air cargo carriers rose 8.9 Administrative Assistant percent in 2006 to $22.5 billion on 9 percent greater domestic Susan Addy • [email protected] Display Advertising Traffic Coordinator sales and 8.8 percent more international business. The avia- Tracey Fiuza • [email protected] tion sector in 2006 transported 32.4 percent of U.S. export value, “again sur- (973) 848-7106 Electronic Rights and Syndication passing maritime, trucking rail and pipeline,” ATA said. Barbara Ross • [email protected] (973) 848-7186 This pick-me-up comes from the International Air Transport Association, which predicts that 2008 will be the best year for cargo traffic since 2000, with CUSTOMER SERVICE OR TO SUBSCRIBE: (888) 215-6084 43.5 million FTKs. Costs continue to rise, but so too does business, if these recent reports are accurate. Projected growth in China, India and the Middle East will help make these rising costs manageable. Worry not about those who now want to tinker with the air cargo security 400 Windsor Corporate Park 50 Millstone Rd., Suite 200 • East Windsor, NJ 08520-1415 law, which they once supported enthusiastically. Let them play on the pub- (609) 371-7700 • (800) 221-5488 lic’s worst fears regarding air cargo security. In time, the public will realize President and CEO Alan Glass these concerns are an exercise in political self-aggrandizement. Senior Vice President, CFO Dana Price Vice President, Magazine Group Peter Tirschwell There will be considerable debate in coming weeks on the value of inspect- President, PIERS Brendan McCahill ing versus screening the freight. The issue will be resolved eventually and in Vice President, Directory Databases Amy Middlebrook three years all cargo carried in the holds of airliners will be either screened or Vice President, Human Resources Kenneth P. Slivken Vice President, inspected. Higher costs for carriers, and for shippers, will be the end result. Production & Manufacturing Meg Palladino But, before your mood sours at this prospect, reach for the data and you’re Director of Circulation John Wengler President, BACK Aviation Steven G. Casley likely to feel better. POSTMASTER: Send address change to: Air Cargo World, 400 Windsor Corporate Park, 50 Millstone Road, Suite 200, East Windsor, NJ 08520-1415.© 2007 Commonwealth Business Media Inc. — All Rights Reserved For more information visit our website at www.aircargoworld.com 2 AirCargoWorld Ocotber 2007 Project1 9/17/07 11:27 AM Page 1 04NewsUpdateINT 9/21/07 2:05 PM Page 4 UpdatesNews DHL. Lufthansa Cargo Chairman Carsten Spohr said joint use of aircraft “will enable us to harness growth op- portunities cost-efficiently.” Flight operations for the still-un- named carrier are scheduled for April 2009, with an initial fleet of 11 new 777-200 freighters. Delivery of the leased aircraft is scheduled for Febru- ary 2009. Once granted traffic rights, the new airline initially will serve nine cities, including Shanghai, Singapore, Bangkok and Seoul. On weekends, the carrier will fly to eight cities, in- cluding, Chicago and New York. Flying China hina will require 3,400 new air- Integrating New Combinations Cplanes worth around $340 bil- he plan by Lufthansa Cargo and DHL to form a joint cargo lion over the next 20 years, accord- airline marks the closest alignment yet between an inte- ing to Boeing’s updated Current grator and a combination airline. With the launch, the two Market Outlook. Tpartners expand significantly their position in air freight With the continued high growth and express business in Asia and elsewhere. rate for China air travel and air cargo Although the new airline will focus primarily only on moving freight in markets, China’s fleet will nearly and out of Asia, the 50/50 joint venture suggests a far larger strategic reach for quadruple to 4,460 airplanes by the both companies, which have a history of forming partnerships with other air- end of the forecast period, 2026.