Air Cargo Market Size, Share, Growth Analysis, By Type of cargo(General cargo, perishable goods), By Service type(Express delivery, freight forwarding) - Industry Forecast 2024-2031

Air Cargo Market size was valued at USD 131.09 Billion in 2022 and is poised to grow from USD 138.69 Billion in 2023 to USD 217.74 Billion by 2031, at a CAGR of 5.80% during the forecast period (2024-2031).

The air cargo market is a highly competitive landscape, characterized by the presence of numerous major players and regional carriers. The market analysis reveals that key players in the industry are focused on expanding their networks, enhancing operational efficiency, and adopting advanced technologies to gain a competitive edge. Established players such as FedEx Corporation, United Parcel Service (UPS), DHL International GmbH, and Cathay Pacific Airways Limited dominate the market with their extensive networks, strong brand presence, and efficient logistics capabilities. These companies offer a wide range of air cargo services, including express delivery, freight transportation, and specialized logistics solutions. Additionally, there is a growing presence of regional carriers and niche players that cater to specific markets or industries. The competitive landscape is further intensified by the emergence of e-commerce giants such as Amazon, which are expanding their own logistics networks to handle their increasing air cargo demands. 'FedEx Corporation (US)', 'DHL International GmbH (Germany)', 'Emirates SkyCargo (UAE)', 'Cathay Pacific Airways Limited (Hong Kong)', 'Korean Air Cargo (South Korea)', 'Cargolux Airlines International S.A. (Luxembourg)', 'Lufthansa Cargo AG (Germany)', 'Singapore Airlines Cargo (Singapore)', 'Air France-KLM Cargo (France/Netherlands)', 'China Airlines Cargo (Taiwan)', 'Qatar Airways Cargo (Qatar)', 'Turkish Airlines Cargo (Turkey)', 'British Airways World Cargo (UK)', 'Japan Airlines Cargo (Japan)', 'All Nippon Airways (ANA) Cargo (Japan)', 'LATAM Cargo (Chile)', 'Saudi Arabian Airlines Cargo (Saudi Arabia)', 'Atlas Air Worldwide Holdings, Inc. (US)', 'Ethiopian Airlines Cargo & Logistics Services (Ethiopia)'

The exponential growth of e-commerce is a significant driver for the air cargo market. The rise of online shopping has led to increased demand for efficient and speedy delivery of goods worldwide. Air cargo offers the advantage of fast transportation, enabling companies to meet the expectations of customers for quick delivery. For example, companies like Amazon heavily rely on air cargo services to ensure timely delivery of their products to customers.

Digitization and Automation: The air cargo industry is adopting digitization and automation to improve efficiency and streamline processes. Technologies such as blockchain, Internet of Things (IoT), and artificial intelligence (AI) are being utilized to enhance supply chain visibility, track shipments in real time, optimize route planning, and automate documentation processes. For instance, digital platforms like Cargo.one and WebCargo enable airlines and freight forwarders to book cargo space digitally, reducing manual efforts and improving operational efficiency.

Asia-Pacific, the powerhouse of international trade, holds the largest market share in the air cargo market. With booming economies like China and India, the region has witnessed a remarkable surge in manufacturing, exports, and e-commerce activities. The rapid growth of these economies has fueled the demand for air cargo services to transport goods efficiently across the globe. For example, China's Alibaba Group, one of the world's largest e-commerce companies, heavily relies on air cargo to deliver millions of packages daily to customers worldwide. With an expanding middle class and increased consumer purchasing power, Asia-Pacific is set to maintain its dominance in the air cargo market, capturing a substantial market share and presenting attractive opportunities for both domestic and international businesses.