China Air Cargo Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2025-2034)

The China air cargo market was valued at USD 15.39 Billion in 2024. The industry is expected to grow at a CAGR of 3.10% during the forecast period of 2025-2034. The growing e-commerce marketplace is one of the major catalysts for air cargo industry expansion. As consumers unceasingly expect faster delivery times for even cross-border transactions, the market is expected to grow. Air cargo providers equipped with solid delivery networks, stretching frequency of flights, van improvement in last-mile delivery help businesses to keep the pace with the growing speed and reliability demand. In turn, these factors have resulted in the market attaining a valuation of USD 20.88 Billion by 2034.

China Air Cargo Market Overview

The China air cargo market is one of the fastest growing markets globally motivated by a dynamic economy, a solid manufacturing base, and a booming e-commerce sector. The expanding aviation sector in the country has contributed largely to the air cargo industry in China with a few leading airports in Shanghai Pudong, Beijing, and Guangzhou - known as the major city hubs for domestic and international cargo traffic.

The surge in cross-border e-commerce, especially with Europe and North America, has increased the need for faster and more reliable air freight. Innovations that are currently transforming the logistics landscape are AI-based tracking systems, automation, and real-time data tracking. All these features are improving reliability and efficiency in the supply chain networks. Sustainability is becoming one of the important areas as the Chinese government is increasingly promoting greener logistics practices for its fuel-efficient, carbon-emitting aircraft. All these factors combined have driven the air cargo market in China, especially for businesses that can adopt technological innovations and comply with developments in sustainability and digitalization.

China Air Cargo Market Growth

The booming e-commerce sector is actively driving the China air cargo market growth. From the wide population base to its pre-eminence as the world’s largest e-commerce market, China has proved to be one of the regions where cross-border trade is observed to increase rapidly. According to the State Post Bureau (SPB), express parcel deliveries reached a historic mark with 150 billion parcels. A fast, reliable air freight solution is necessary since consumers increasingly demand fast delivery. This has increased investments in dedicated air cargo systems specialized to e-commerce, especially into cross-border shipments of high-value and time-sensitive goods.

The pharmaceuticals and healthcare products are among the fast-growing niches in the China air cargo market. The requirement in vaccines, medical supplies, and biotechnology products increased after COVID-19 upsurge has seen a perpendicular increase in temperature-sensitive and urgent air cargo. China's role in global production and export of pharmaceuticals will impose an increasing necessity for safe, timely air cargo deliveries. Therefore, logistics companies in the country can strengthen their cold chain and invest in specialized equipment to use this opportunity. This would further create an upsurge as the exporting of pharmaceutical products and health facilities within China enhance.

Key Trends and Recent Developments

The key trends of the market include the growing demand form the expanding e-commerce sector, tech-based developments in logistics and automation, increasing sustainable and greener logistics initiatives, and the belt and road initiatives connecting globally.

November 2024

China launched 18 brand new international air cargo networks that include seven to Asia, eight to European countries and three to the North America region. Seven of these routes are domestic. Most of these cargoes are for e-commerce cross-border goods including perishables and electronics.

October 2024

According to Xinhua, which cited the city's customs, a cargo jet from Taiyuan city in Shanxi Province, North China, made its first delivery to Almaty on October 23. With this, a new direct cargo aviation route was established.

July 2024

The eastern European hub expects that China Cargo Airlines' new route to Budapest Airport will boost trade with China. A Boeing 777 cargo operates the new Shanghai Pudong (PVG)-Budapest route three times a week on Mondays, Wednesdays, and Fridays.

April 2024

A.P. Moller - Maersk (Maersk) launched two new air freight services with frequent flights connecting the United States and China to satisfy its clients' end-to-end logistics demands. With expanded air services for high-value and time-sensitive cargo, Maersk's new customer-backed air corridor is anticipated to close a connectivity gap between the two biggest ocean customer markets in the world.

Growing Demand from the E-commerce Sector

E-commerce has been undergoing rapid growth in China, currently accelerating the air cargo demand. As a fundamental part of the e-commerce growth, fast and reliable delivery services are needed more when online shopping peaks. With express delivery volumes increasing, at a rate of more than 70% year-on year increase, a significant percentage is contributed by the China air cargo industry. This growing trend is exhibited prominently in a cross-border world in e-commerce, where speed and reliability are vital. Hence, companies in logistics and air cargo need to strategize on how best to meet the booming demand on time-sensitive delivery.

Tech-based Developments in Logistics and Automation

The China air cargo market is increasingly adopting automation and digital technologies for efficiency in terms of cost. China is rapidly developing cargo terminals and airports with AI-integrated sorting systems, fully automated warehouses, which also come up with real-time tracking. Moreover, integration with the supply chain for intelligent logistics is currently a priority for the Chinese government. Such emerging technologies reduce cycle time, minimize delays, and make timelines of delivery more accurate. Hence, automation and data analytics could confer a competitive advantage in this highly competitive market.

Increasing Sustainable and Greener Logistics Initiatives

The importance of environmental sustainability is one of the key trends in the China air cargo market. Among the initiatives being pursued by the government, fuel-efficient aircraft development as well as green practices apply across the logistics chain. For example, the above aviation sector has set targets on CO2 emission reduction by the Civil Aviation Administration of China (CAAC) and has extended programs towards environmental awareness. Furthermore, investments in alternative fuels, energy-efficient planes, or carbon offset programs by companies are in line with the ongoing regulatory trends and consumers' growing preferences for green programs, thus enabling their competition in the marketplace.

Belt and Road Initiatives Connecting Globally

The Belt and Road Initiative is also transforming the China air cargo market because of the enhancements in connectivity throughout Europe, Asia, and Africa. Strengthened infrastructure, which includes airports, air routes, and cross-border customs facilities, has placed China among global logistics hubs. Besides, BRI promotes the integration of regional supply chains, enhancing China's role in global trade flows. This would thus present air cargo companies with wider access to future markets and growth opportunities. Companies are strategically positioning their operations along these new trade routes for more direct and cost-effective access to global supply chains.

China Air Cargo Market Opportunities

The increasing demand for perishable goods, medicines, and biotechnology products offers a big opportunity in cold chain logistics sector for the China air cargo market. With the vaccines, biologics, and food exports boosting trade and imports increasingly into the country for temperature-sensitive products, the market experiences a rise in demand as air travel ensures that these products would maintain their integrity during transport. Companies that are investing in specialized temperature-controlled equipment and infrastructures such as refrigerated containers and real-time monitoring systems can benefit from the emerging trends as the demand increases for cold chain solutions that prove secure and effective.

The Belt and Road Initiative (BRI) has opened up huge opportunities for the China air cargo market growth. This initiative has enabled air cargo companies to enlarge their networks and link to key markets in important locations as Asia, Europe, and Africa. Developments of new air routes and the enhancement of airports under the BRI initiative are aligning well with the regional market growth as the servicing trade increases. Using this further thrust, companies can expand their operations, optimize trade routes and enhance emerging markets access for trading. This would result from increased global logistics efficiency, lower costs, and better opportunities.

China Air Cargo Market Trends

The air cargo market in China is largely dependent on the country’s position as the largest manufacturing center in the world. China houses industries that can create tremendous amounts of electronics, textiles, machinery, and consumer goods that can cater to the growing global demand. These industries air-cargo most time-sensitive products or items of high value, as speed weigh more than cost, in this regard. The market is further driven by the demand from European, North American, and Southeast Asian countries. Moreover, the plethora of trade agreements China has signed and its central location in the global supply chains, continue to guarantee the need for effective and fast air transport solutions.

Technological innovations are also contributing the China air cargo market dynamics as they increasingly help in operational efficiencies, lower costs, and improve customer service. For example, the incorporation of AI, blockchain, and IoT as digitalized modules has provided improvements in real-time cargo tracking, route optimization, and overall visibility across the supply chain. Automated systems, intelligent warehouses, and robotics used in operations through large air cargo hubs, such as those in Shanghai and Guangzhou, have optimized their output. Chinese logistics companies are rapidly adopting these technologies, thereby driving the market to become more responsive, efficient, and, most importantly, multifunctional for both increasing domestic and international flows of freight.

China Air Cargo Market Restraints

• Despite the growing volumes in air cargo in China, some airports and logistics hubs are already reaching their maximum capacity and experiencing congestion beyond their capacity, resulting in flight delays and delays in handling cargo. This has led to a key challenge in the China air cargo market.
• Fluctuations in international fuel prices are negatively impacting the China air freight market since fuel cost is considered one of the most critical operational cost items for airline companies. Rising fuel and labour costs entail maintenance choices that will squeeze margins dry for logistics companies, especially in such fierce competition.
• Customs procedures, security measures, and environment policies are also likely to affect the air cargo industry in China. Completing all the required forms will take time and incur a significant budget for companies conducting air cargo operations. The situation becomes worse for cross-border shipments where revisions in policies and tariffs play a key role in causing delays and extra costs.

China Air Cargo Industry Segmentation

The report titled “China Air Cargo Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

On the basis of service, the market can be divided into the following:

• Express
• General

On the basis of shipment, the market can be segregated into the following:

• Domestic
• International

On the basis of end use, the market can be divided into the following:

• Automotive
• Pharmaceuticals and Healthcare
• Consumer Electronics
• Retail and E-commerce
• Food and Beverages
• Others

Based on region, the market can be segregated into:

• Southwestern China
• Northwestern China
• Southcentral China
• North China
• East China
• Northeast China

China Air Cargo Market Share

Market Insights by Service

The express services segment in the China air cargo market is driven by the necessity for speed on account of the e-commerce growth. These services are expected to grow at 3.8% CAGR during the forecast period. Growing consumer expectation for next-day or same-day delivery are compelling e-commerce companies, or more particularly small parcel logistics to hugely invest in air freight and meet consumer demand. On the other hand, the general cargo service segment has benefited from the fact that China is a global manufacturing hub including consumer electronics and automotive. The segment growth is further accelerated with a huge concentration of customers who want cost-competitive and reliable transportation of bulk loads instead of speed.

Market Analysis by Shipment

The domestic air cargo demand in China is driven by vast manufacturing facilities of the country and increasing consumer demand on a time-sensitive basis for products like electronics, perishable products, and e-commerce orders. Regional trade networks development and infrastructure investments also contribute to the growth of domestic air freights. On the other hand, international air cargo, expected to grow at 3.6% CAGR, is due to China's role in global supply chains since the country has one of the highest levels of export volumes in terms of electronics, textiles, cars, and so on. Trade agreements and institutions with the newly established Belt and Road Initiative have further increased the connectivity of the country while increasing cross-border air cargo demand.

Market Insights as per End Use

The automotive industry in China fuels air cargo demand for high-value, time-sensitive components for just-in-time manufacturing and global supply chains. As an important automotive producer and exporter, China further increases this demand for effective air freight solutions. Increased demand for pharmaceuticals, vaccines, and medical devices, particularly from biopharma exports and temperature-sensitive requirements has contributed to the China air cargo market growth. Further, as a global producer of consumer electronics, the market saw an increase in airlift cargoes needed for the rapid delivery of high-value, high-tech items such as smartphones, laptops, and other components. The retail and e-commerce growth across the country has resulted in a sharp surge in air cargo for small parcel delivery, particularly in cross-border delivery. Moreover, the demand for fresh produce, seafood, and packaged foods is one of the leading factors driving air cargo demand in perishable business. The country exports high-quality food products, boosted by the increasing domestic standards of demand for international brands.

China Air Cargo Market Regional Analysis

Southwestern China Air Cargo Market Trends

The Southwestern China air cargo market is experiencing a continual growth as a result of its strategic positioning between the rest of China and Southeast Asia, South Asia, and overseas parts of the world. The market is expected to grow at 3.5% CAGR during the forecast period. Cities like Chengdu, Kunming, and Chongqing are turning out to be the key logistics hubs that provide key opportunities for market growth. For example, the air cargo volumes are rising at Chengdu Shuangliu Airport. One of the major features is emerging from e-commerce as well as cross-border trade with the markets such as Myanmar and Vietnam, where goods are trans-actioned in increasing volume. The region is also seeing a marked increase in demand for pharmaceutical products, automotive parts, and electronic assets.

Northwestern China Air Cargo Market Dynamics

The Northwestern China air cargo market is growing because of its placement as a gateway to Central Asia, the Middle East, and Europe. Xi'an, Lanzhou, and Urumqi form major city points into the trade routes propelled by the Belt and Road Initiative driving the overall market growth. The market is projected to grow at a CAGR of 3.3% over the forecast period. The key driving factor here is the increasing number of electronics, machinery, and agricultural products that are getting exported out of the region, hence generating demand. The very dynamic e-commerce and cross-border logistics sectors further fuel airfreight activity. Significant investments into logistics including upgrades in airport capacity and digital systems are further improving efficiency and connectivity supporting the regional market growth.

Southcentral China Air Cargo Market Opportunities

The air cargo market in Southcentral China has huge potential for growth due to its increasing industrial base and its location, bordered by the Yangtze River Delta. Cities such as Wuhan, Changsha, and Zhengzhou situated in this region became logistics hubs for massive investments in air cargo infrastructure and smart logistics technologies. With the increased cross-border trade, demand for speedy and effective air freight is on the rise. Optimizing supply chains are improved inland logistics and increased airport capacities coupled with cold chain solutions.

North China Air Cargo Market Insights

The air cargo market in North China is growing as the centre develops as an industrial and technological hub. This area comprises Beijing, Tianjin, and Hebei, which are among the greatest actors within and internationally in trade. For example, Beijing Capital International Airport is touted to be among the world's busiest cargo airports. The growth of the regional market can be extremely diversified and vary from industries such as electronics, automotive, and pharmaceuticals. All of these factors culminate in managing the demand for expensive delivery via air. Innovations such as automation, real-time tracking, as well as AI-based routing optimization, have had a resounding impact on operational efficiency. Green logistics initiatives and developing associated infrastructure will also position North China as a growing global logistics hub.

East China Air Cargo Market Analysis

Due to the high economic energies around cities such as Shanghai, Nanjing, and Hangzhou, the air cargo market in East China tends to be quite dynamic and competitive. The region boasts some of the busier cargo airports in the country, namely Shanghai Pudong International, and among these, significant international and domestic air freight volumes are processed. Similar to that, all kinds of manufacturing, from electronics and automotive industries to pharmaceuticals, fuel demand for air cargo. Smart logistics systems, automation, and cold chain investment further enhance the efficiency of operations in addition to solidifying the region as one of the critical parts of the key logistics hub in global supply chains.

Northeast China Air Cargo Market Insights

The Northeast China air cargo market is gradually developing, largely because of its strategic location advantages and increases in industrial output. Cities such as Harbin, Changchun, and Shenyang have become important gateways in the regional logistics network with more focus on automation and machinery exports. Cold chain logistics are starting to find footing because of agricultural products and pharmaceuticals. Cross-border trade with the neighbouring Russia and Mongolia opens yet another window for developing air cargo in the region, especially for time-critical and perishable items. In addition to all that, Northeast China is highly equipped technologically, housing a superior skilled workforce.

Competitive Landscape

The market highly competitive. Leading China air cargo market players like Kuehne+Nagel and DHL are vying for dominating market share catering to the widespread demand for e-commerce logistics and the express delivery segment of cross-border trade. China air cargo companies are employing efficient time-saving priority shipment handling, technology integrations, and infrastructure investments.

Kuehne+Nagel International AG

Kuehne+Nagel, founded in 1890, Germany, is one of the foremost logistics service providers in the China air cargo market, which fully covers airfreight, ocean freight, and supply chain services. The company utilizes its powerful global network and advanced digital tools as well as strong partnerships with Chinese airports to provide efficient and reliable solutions for high-value goods and time-sensitive shipments.

Deutsche Post AG

Established in 1995 with its headquarters in Germany, Deutsche Post using its DHL brand provides express delivery as well as logistics services within China. It has developed massive infrastructural setup and strong presence in cities like Shanghai and Beijing to provide fast and reliable air freight movement, primarily focusing on e-commerce and pharmaceutical sectors using its interactive and vast global network.

MOOV Logistics

MOOV, founded in 2013 in Beijing, China is a freight forwarding and warehouse company with supply chain capabilities. Best known as being a digital-first organization, MOOV offers comprehensive solutions that blend air cargo with tech-enabled platforms. Focused on real-time tracking and data-driven solutions, the company ensures optimal air freight operations that can benefit industries from agriculture to electronics.

SINO SHIPPING

SINO SHIPPING, founded in 1989, based in Hong Kong, provides an integrated freight forwarding service, which includes air, sea, and land transports. The company's strength lies in the custom-tailer solution it provides for industries such as automotive, electronic, and retail, both due to its strong bonding with Chinese ports and airports.

Other key players in the China air cargo market report are Air China Cargo Co., Ltd., DSV A/S, FedEx Corp., United Parcel Service of America, Inc., Nippon Express Co., Ltd., and Sinotrans Limited, among others.

Innovative China Air Cargo Startups

Emerging startups in China air cargo market are focused on digitalization, automation, and overall supply chain improvement. AI-driven tracking, real-time data analytics, and robotic sorting systems are utilized for productivity improvement. Their growth initiatives include more cross-border services, improved e-commerce logistics, and investment in greener and sustainable supply chain solutions.

Xianrong Import and Export Co., Ltd

With a large global network, Xianrong Import and Export Co., Ltd provides a comprehensive range of freight forwarding services, including air freight, ocean freight, customs broking, land transportation, and more. The company also provide a range of value-added services, including cargo insurance, packing and crating, and door-to-door delivery.

Shengyu Freight

Guangzhou Shengcheng International Freight Forwarding Co., Ltd. specialises in the import and export of sea freight FCL and air freight, as well as import and export-related procedures such as customs declaration and inspection. Their key maritime routes include Africa, the Middle East, Australia, Southeast Asia, and Japan, which can ensure space.