Icelandair add Fedex to their customer base

Wexco, the GSA for Icelandair cargo have announced to the UK freight forwarding community some changes to the airline’s present schedule. In light of a new deal to handle all shipments for both Fedex and TNT from early in 2020.

Fedex acquired TNT back in 2016 and is now merging the two operations. At the same time they are looking to expand their operation into Iceland and see Icelandair cargo as a key supplier in the region.

Changes to Icelandair schedules

Fedex have a significant presence in Liege and for the Icelandair deal to work it needs to increase frequency. The airline will operate to Liege seven times a week, and 3x weekly to East Midlands in the UK.

The agreement with Fedex and TNT is one of the largest Icelandair Cargo has made for this type of transportation

Gunnar Mar Sigurfinnsson, Icelandair Cargo Managing Director

Although primarily the changes are to serve Fedex/TNT there are advantages for all customers based in Iceland. An excellent trucking network existsto/from liege. Further developing Europe as a market for Iceland. Especially Fresh produce and Fish.

Fedex continue to scale back cargo capacity

Fedex had already confirmed they were looking to scale back capacity. Coming on the back of their decision to walk away from amazon. It seems to make sense to out-source to airlines like Icelandair. Freeing up their own aircraft to remove them from service or focus on lucrative routes.

Presently Fedex retain their position as the world’s busiest cargo airline. It will be interesting to see if utilising airlines like Icelandair have an impact next year.

Qatar airways have continued to close the gap on Emirates who presently sit second behind Fedex. Both airlines work tirelessly to increase their cargo capacity and continue to eat into Fedex’s number one position. With Qatar Airways in particular opening new routes and increasing its countrywide reach.