YTO Airlines launches cargo flight to Singapore on 2 November 2020

Report by : Gan Yung Chyan, KUCINTA SETIA

Image courtesy : CARNOC

On 2 November 2020,  YTO Airlines successfully launched its Hangzhou - Singapore cargo route. This route cooperated with Cainiao International to transport cross-border e-commerce goods from Tmall International. The aircraft flies 2 to 3 flights per week to Singapore.

At present, the YTO Airlines  has accumulated Hangzhou - Kuala Lumpur/ - Manila, Xi’an/Hangzhou -Dhaka, Changsha/Macau - Manila and other Southeast Asian freight routes, to provide assistance for the trade and economic recovery of  China and Southeast Asia under the influence of the epidemic. Provide assistance.

"This route is mainly loaded with packages sent by Tmall and Taobao. It is mainly daily necessities. The outbound cargo is about 25 tons. The main load on the route from Singapore is electronic products." YTO Airlines Aviation Marketing Department personnel in charge said.

Earlier, YTO Airlines has reached a cooperation with Cainiao International, opening a number of all-cargo planes including Hangzhou - Kuala Lumpur, Hangzhou - Manila, etc., to transport domestic cross-border e-commerce packages from bonded warehouses across the country, such as East China warehouses and South China warehouses.

Since the beginning of this year, YTO has continued to strengthen its international logistics layout by opening multiple international freight routes to serve more customers and consumers at home and abroad, and help Chinese companies go overseas with high-quality international freight services, and help China and Southeast Asian countries enter e-commerce Merchants on the platform realize greater benefits.

The relevant person in charge of YTO said that YTO Airlines will be committed to becoming the carrier of major cargo airlines from China to Southeast Asia and Asia in the next one to three years, providing efficient and comprehensive logistics supply chain services at hub destinations.

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Changi Airport Press Release on YTO Airlines

Chinese express carrier YTO Cargo Airlines [圆通航空] has launched thrice weekly services between Singapore and Hangzhou. The new carrier’s first flight from Hangzhou landed at Changi Airport earlier today at 1600 hrs.

From November 2020, Alibaba’s logistics arm, Cainiao [菜鸟网络], will utilise YTO Cargo Airlines’ services for the transportation of e-commerce shipments. YTO Cargo Airlines’ direct airfreight route between Hangzhou and Singapore will improve Cainiao’s stability and efficiency in achieving its goal of global delivery within 72 hours in Southeast Asia, amid a surge in cross-border e-commerce orders. It will also cater for the expected increase in air cargo demand during year-end online shopping festivals such as Singles Day on 11 November.

Mr Lim Ching Kiat, Changi Airport Group’s (CAG) Managing Director of Air Hub Development said, “We are pleased to welcome YTO Cargo Airlines to Changi’s family of airlines. In these challenging times, the additional capacity provided by YTO Cargo Airlines will help support global supply chains and facilitate the transfer of essential goods between countries. As an express carrier, YTO Cargo Airlines will enable fast air transportation of cross-border e-commerce shipments so that customers can benefit from timely deliveries, amid the rise of online shopping and disruptions in the aviation industry.”

Mr David Su, YTO Cargo Airlines’ Chairman said, “We are delighted to launch our newest route to Changi Airport, together with our shareholder and core strategic partner Cainiao. Singapore is one of the key hubs in the Southeast Asia market, while Hangzhou is the cradleland of e-commerce in China. We are committed to responding to customer demands by providing five-star service and supporting bilateral trade between China and Singapore.”

Stable cargo flows between Singapore and China

The Covid-19 pandemic has impacted the aviation industry and its related businesses worldwide. Passenger traffic has fallen significantly at Changi Airport, resulting in a reduction in bellyhold cargo capacity. CAG has been working closely with its air cargo partners to minimise disruption to supply chains between Singapore and China.

Singapore’s air trade – imports and exports[1] – with China, Changi’s top air cargo market, has remained relatively resilient during the pandemic, growing 7% year-on-year to more than 108,000 tonnes in the first nine months this year. This is largely due to strong import flows of Personal Protective Equipment (PPE) in the earlier months, as well as e-commerce products.

In the past seven months, Changi has added four new freighter links to China, bringing the total to seven[2] as of October 2020. Including freighter, passenger and cargo-only passenger flights, there are currently 14 city links between Singapore and China, providing greater convenience and capacity for the air transportation of goods between the two countries.

Airfreight capacity between the two countries was adversely impacted at the beginning of the Covid-19 pandemic. Through the combined efforts of CAG and its air cargo partners, the capacity gap has now been narrowed significantly.

For the first nine months of 2020, Changi Airport handled 1.13 million tonnes of airfreight throughput in total.

[1] Imports make up about 60% of the volume, and exports make up 40%

[2] Chengdu, Chongqing, Hangzhou and Nantong are new freighter links since April 2020, adding to Guangzhou, Shanghai and Shenzhen.