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US air freight market dominated by FedEx and UPS

Industry Sector



11 December 2012


Mike King

Type of News


The US air freight market has been forecast to hit a value of US$41.99 billion by 2016, with the industry set to be primarily driven by the economic growth in the US, along with the increase in e-commerce activities happening in the US.

The US airfreight market generated revenues of $28 billion in 2011, a 7.4%, year-over-year, increase. Although a seemingly positive development, this figure is on par with the revenues the industry recorded in the 2000-2001 financial year.

Such statistics show that the US -- despite the domination of integrators FedEx and UPS -- isn't immune to the sluggishness affecting the global airfreight market.

Overall, cargo traffic in the US dipped 1.3%, year-over-year, to 12.117 billion tonne miles in 2011. Unfortunately, the same problems that plagued the domestic airfreight sector last year are likely to continue in 2012.

The increase in online purchases offers huge growth potential for the US air freight market. With busier lifestyles and increasing internet penetration, the retail sector is undergoing a favourable change. Online retailing offers a variety of benefits to customers, such as an easy and convenient way of choosing products online, placing orders through credit cards, and avoiding tiring visits to stores.US air freight

The online retail sector in the US has become one of the fastest growing retail formats. Further, the online retail sector in the US is expected to witness double-digit growth through to 2016.

Key players currently dominating the US air freight market include AMR Corp., FedEx Corp., United Parcel Service Inc., Bax Global Inc., and United States Postal Services Express Mail.

For more information on the US air freight market, see the latest research: US Air Freight Market

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