$300mn China hub loss

THE development of Lambert-St Louis Airport (US) as the country’s new China cargo hub has taken a blow following a revised tax credit proposal.

The airport had hoped for US$360 million in tax credits for warehouses but Missouri senators on 13 September proposed just $60 million in incentives for freight forwarders.

The project to entice Chinese carriers to land at Lambert has observers divided. Audrey Spalding, a policy analyst with the free market think tank Show-Me Institute, called the omission of the warehouse incentives “victory for taxpayers”. Spalding questioned why the airport was pushing for more construction of warehouse space if there are already facilities available.

Jeff Rainford, St Louis mayor office chief of staff, said he was still hopeful that he Aerotropolis programme would pass.

“The House hasn’t even weighed in yet,” he said. “What’s most important is that the bill is moving forward and not stalled out and it does include Aerotropolis. Often it’s in the joint House-Senate committee conference where the bill is written.”