By Maria Kalamatas – The Logistic News
March 21, 2025 – Cathay Cargo has recorded a strong 11.8% year-on-year increase in airfreight volumes for February 2025, despite the usual Lunar New Year slowdown. The cargo division of Cathay Pacific attributed the growth in demand toward the end of the month, particularly driven by electronics shipments from China and Southeast Asia.
Key Performance Indicators for February 2025
- Cargo volumes increased by 11.8% compared to February 2024.
- Available Freight Tonne Kilometres (FTKs) rose by 3.5%.
- Revenue FTKs increased by just 1%, resulting in a 1.4 percentage point decline in the cargo load factor to 57.8%.
- Total tonnage for the first two months of 2025 saw a 12.8% increase year on year.
Steady Demand Growth Despite Seasonal Slowdown
Lavinia Lau, Chief Customer and Commercial Officer at Cathay Cargo, highlighted how demand trends evolved throughout February:
“Demand from our Hong Kong hub and the Greater Bay Area started slowly due to the Lunar New Year holiday, but picked up towards the end of February.
“We observed continued growth in our Cathay Secure solution, driven by increased electronics shipments from the Chinese Mainland and Southeast Asia.”
Cathay Cargo also showcased its expertise in specialized air transport, serving as the official airline sponsor of the Longines Hong Kong International Horse Show. The airline successfully transported around 70 of the world’s finest sports horses from Liège and London to Hong Kong, reinforcing its reputation in live animal transportation.
Outlook for March: Increasing Freighter Capacity
Looking ahead, Cathay Cargo expects further air cargo demand growth in March.
“For March, we anticipate market demand to rise, and we are ramping up our scheduled freighter frequencies in preparation for the quarter-end,” Lau added.
“We are also closely monitoring the volatility of the cargo market and will use our flexible network strategy to adjust capacity and seize demand opportunities as they emerge.”
Cathay Cargo’s Strong 2024 Financial Performance
Last year, Cathay Cargo saw an 8.3% increase in cargo revenues, reaching HK$24 billion. This was driven by:
- A 10.9% rise in total cargo volumes to 1.5 million tonnes
- A 5% improvement in revenue freight tonne kilometres (RFTK) to 8.5 billion
Market Trends and Strategic Adjustments
Cathay Cargo’s ability to adapt to fluctuating market conditions and optimize capacity deployment remains key to its sustained growth. As global air cargo demand fluctuates, airlines are leveraging flexible capacity planning to maximize profitability in an evolving freight market.
For more insights into air cargo trends, freight market updates, and industry developments, stay connected with The Logistic News.
Maria Kalamatas
Senior Journalist, The Logistic News
