solutions will grow in the
coming years remains to be
seen. Clearly the ground
is shifting, as car makers
transform their business to
electronic vehicles, forcing
them to reassess the role of
airfreight. AUTOMOTIVE
TRAFFIC
for the automotive industry
to include 3D printing of
replacement parts and other
additive production support.
This will help car makers
reduce their warehousing
costs, as parts can be produced
as needed. Franco remarks
that this also allows faster
response time.
“We can also do it for
tooling, not just for vehicles,”
she adds. But 3D printing
centres on the car makers,
and it is not targeting mass
production of parts. “It’s more
for parts that are no longer
available,” she says, adding
that the service is usually tied
in with additional services.
The industry’s transition
to electric and hybrid
vehicles has drawn lithium
batteries into the equation
for forwarders and carriers.
The battery in a Tesla sedan
weighs over 450 kilogrammes,
so the prospect of managing
the storage and transport of
large quantities brings new
challenges and opportunities.
“Every forwarder needs
a strategic plan around
batteries,” admits Franco. DB
Schenker is now working on
its capabilities to store and
move lithium batteries.
CEVA is setting up a special
group with a cross-functional
management team within
the automotive division to
deal with lithium batteries.
“Soon we will offer something
structured to the market,”
Fondevilla reveals.
For freighter operators,
the repercussions of the
shift to electric cars could be
massive, as lithium batteries
are banned from passenger
aircraft.
“As car makers tend to shift
from internal combustion
technologies to e-cars,
Whilst conventional cars are still in vogue,
the movement towards battery power has to
be factored into the future equation
AirBridge carried over 2,000 vehicles on scheduled flights
last year, while its automotive charters climbed more than
20%. Aeronaves, Mexico’s largest freighter operator, performs
15-25 charters a day, most of them for the automotive industry,
according to Hugh Cutler, President of parent company, Grupo
TSM.
Several forwarders have taken on dedicated freighter flights
for their automotive traffic. Senator International runs twice
weekly flights from Germany to Greenville/Spartanburg and on
to Queretaro, primarily to carry automotive traffic.
The forwarder still needs additional lift, though. “We carry
a lot of overflow on our Chicago-Frankfurt route that didn’t fit
on their flights,” reports McWhorter. NCA also moves vehicles
for another large European manufacturer (for winter testing) to
Minnesota and Canada.
NCA’s Japanese clientele that specialises in automotive
logistics takes regular allocations on the carrier. “It’s a pretty
stable business. Not much is shopped around,” McWhorter
relates. Likewise, Lufthansa Cargo has a long-standing,
collaborative relationship with its automotive clientele, says
Reupert.
Automotive customers value these relationships as they are
facing increasing competition for lift from other industries. A lot
more work has been put into managing capacity, says Franco.
Often this goes beyond one-way flows to balance traffic in both
directions, she adds.
The migration of some automotive production from China
to locations in south-east Asia is adding to the complexity.
Fondevilla notes that neither maritime nor air cargo
infrastructure in the new locations is geared up to manage the
increase in traffic.
“We will see a combination of modes of transport to
cope with demand,” he predicts. “We’re exploring some
opportunities. China to Europe we launched a road service
recently. This competes with air, rather than ocean.”
There is always the possibility of fielding dedicated freighter
capacity, although the cost
makes car makers squirm.
“It’s something we’re
exploring,” says Fondevilla.
Meanwhile, DB Schenker is
utilising dedicated freighter
lift, but this is usually not
limited to automotive traffic,
remarks Franco.
How far the need for such
international regulations
require carriers to be more
attentive to the transportation
of lithium batteries, which
are Class 9 dangerous
goods. From the carrier side
we implement additional
procedures to ensure that the
tendered batteries meet safety
standards,” remarks Lazarev.
Lufthansa has been at
the forefront of digitising
processes, and this drive
was extended to hazardous
goods last September, when
the airline processed its first
electronic dangerous goods
declaration. This required a
new approach, utilising the
INFr8 platform, which is in its
pilot phase.
Factoring in the freighter
Freighters also figure
prominently in the airline’s
carriage of complete vehicles.
For the most part, these are
flown on all-cargo aircraft,
says Reupert, adding that “it
helps that we’re getting three
B777 freighters in 2019.”
Automotive freight isn’t exclusively about
state-of-the-art transport...
10 February 2019 www.airlogisticsinternational.com
/www.airlogisticsinternational.com