DHL and Air Hong Kong sign new agreement
DHL and Air Hong Kong sign new agreement
DHL Express has extended its partnership with Air Hong Kong with a new 15-year block-space agreement.
As part of the new commercial arrangements, DHL will sell its 40% stake in Air Hong Kong to majority-owner Cathay Pacific, and purchase eight of Air Hong Kong’s A300-600F cargo planes which will then be leased back to the carrier.
The new agreement – which takes effect on 1 January 2019, replacing Air Hong Kong’s current agreement with DHL when it expires – will initially provide DHL with the same service and access to Air Hong Kong’s capacity as per the current agreement, but allows for greater growth and flexibility in aircraft deployment and route selection to support DHL’s express services in the Asia Pacific region.
“Asia is expected to experience exponential trade growth and our renewed block space agreement with Air Hong Kong forms a natural complement to DHL’s broader growth strategy in Asia Pacific to meet continually strong market demand,” said Ken Allen, CEO, DHL Express. “Air Hong Kong has provided the backbone of our air express capabilities in Hong Kong for 15 years since 2002, and the latest agreement with Cathay Pacific will allow it to reach even greater heights as we consolidate its operations for maximal efficiency and availability.”
DHL Express also recently announced the expansion of its Central Asia Hub in Hong Kong, a dedicated and purpose-built air express cargo facility at the Hong Kong International Airport which services over 800 flights daily.
