KUALA LUMPUR: May 29, 2019. MASkargo is re-introducing A330-200 freighter flights between Kuala Lumpur and Guangzhou from June 04 until the end of the year to take advantage of what it says is a thriving e-commerce market.

The twice-weekly service, which adds to the airline’s existing bellyhold capacity to 10 Chinese destinations, is expected to generate business valued at US$4.8 million, according to the company.

“The year-over-year global growth has overseen a substantial [decrease] in the total cargo carried and a significant [increase] in the freight capacity, for 2019. Hence, this weakening trend has inflicted the capacity growth to outstrip the demand growth so far," said MASkargo Chief Commercial Officer Mark Jason Thomas. “In accordance with this, MASkargo will adjust its network schedule to fully optimize its overall offering for the upcoming second and third quarters. This will allow the company to ensure profitable load factors and continued deployment of its aircraft at optimum levels, moving forward.”

Latest air cargo data from IATA reflects the downward trend with an industry-wide 4.7 percent year-on-year drop in freight tonne kilometers flown in April. At the same time, capacity grew 2.6 percent overall - continuing a 12-month cycle. IATA noted air cargo volumes “have been volatile in 2019, due to the timing of Chinese New Year and Easter, but the trend is clearly downwards, with volumes around 3.0 percent below the August 2018 peak”.

Despite the data, Thomas said his company was pleased to re-introduce a freighter service in view of increasing demand in two-way e-commerce shipments between China and Malaysia.

“The scheduled services will further boost MASkargo’s revenue by capitalizing on the untapped business. It is MASkargo’s strategy to mount scheduled services to the new destinations to cater for the impending demand,” he added.