Cargolux signs equity contract for launch of Henan Cargo Airlines

Cargolux has signed a joint venture equity contract to establish Henan Cargo Airlines, a freighter carrier which will operate under a Chinese air operator certificate (AOC), with the first revenue flight being planned for the fourth quarter of 2018.
The Luxembourg-based cargo carrier said that 75% of the shares in Henan Cargo Airlines will be held by HNCA, the Henan Airport Group, and the Xinggang Investment Group Co, which represents the Zhengzhou Airport Economic Zone. Cargolux will hold the remaining 25%.
This appears to be a slight change in the originally-planned shareholder structure. In February 2016, it was stated that Cargolux’s $77m investment would give it a 35% share in the Chinese carrier, with HNCA taking a 49% stake, and with both Xinggang Investment & Development Co of Zhengzhou Airport Comprehensive Economic Experimental Zone and the Henan Airport Group holding 8% each.
The Chinese joint venture — with an original working title of Cargolux China during negotiations — has been a major strategic focus for Cargolux.
A spokesperson for the European carrier said: "The signing of the Airline Equity Joint Venture Contract in Beijing today is a major landmark and  step forward in the launching of  a resident cargo airline operating out of Zhenzhou under a Chinese AOC."
The signing ceremony took place in the presence of Luxembourg’s prime minister, Xavier Bettel, and The People’s Republic of China’s State Council Premier, Li Keqiang, in the Great Hall of the People at Tiananmen Square
The contract sets out the key terms and commitments of each party to the agreement.
This is the second major deal for Cargolux in less than five weeks.
On May 9, Emirates SkyCargo signed a memorandum of understanding with Cargolux for a strategic operational partnership in Munich at the Air Cargo Europe event.
Described as the first of its kind between a mainline airline and a specialised freighter operator, it will allow the two carriers to co-operate and offer their complementary strengths and shared values.

Share this story

Related topics

Latest asia news

SF Airlines set for US market expansion

By Damian Brett

China-based express carrier SF Airlines is set to add services to the US after gaining approval for flights from the…

Read More

East Midlands Airport could link UK and China with direct cargo flights

By Rachelle Harry

Chinese officials are looking into the option of using the UK’s East Midlands Airport (EMA), the UK’s second-busiest cargo hub…

Read More

Hong Kong carriers under pressure

By Damian Brett

Cathay Pacific and Hong Kong Airlines are both facing pressure, with the latter facing the prospect of being wound up…

Read More