China's CDI Cargo Airlines launches itself into stiff economic headwinds

CDI Cargo Airlines, which has been given the approval to start operations, six months ago by Civil Aviation Administration of China (CAAC) has started services from Hangzhou Xiaoshan International airport hub to Changchun via Qingdao.

"No doubt that all long-haul/wide-body freighter operators are suffering a tough time at the moment, based on the current weak demand situation of international markets," CDI Cargo's Alex Zhang told Atlanta of Air Cargo World.

"But most of the domestic/narrow-body freighter operators are performing well, due to booming domestic demand." The Chinese express sector has been performing especially well recently, Mr Zhang said, as evidenced by the sector's nearly 30 per cent compound annual growth rate increase.

CDI Cargo aims to tap into the domestic Chinese market for growth. Mr Zhang believes this distinction will help the carrier offset some of the declines seen in the Asia-Pacific lately unlike Shenzhen-based Jade Cargo, which officially folded in June, and the Tianjin-based Grandstar Air Cargo, which suspended operations in May.