Truck driver shortage in Japan spurs new cargo airline

Japan Airlines is the latest passenger airline branching out into dedicated cargo service, announcing last month it will collaborate with logistics provider Yamato Transport to address operational  challenges faced by both companies.

JAL said low-cost subsidiary Spring Japan will operate three Airbus A321 converted freighters for Yamato, a Tokyo-based company specializing in small parcel delivery, warehousing and distribution and inside home delivery of large items. The partners plan to launch service in April 2024 on four domestic routes, including Tokyo-Okinawa, offering 21 flights per day.

Yamato said it is motivated to control its own air cargo network because of concerns that a new law will restrict the number of available truck drivers in Japan and undercut service levels. The new law, which takes effect in April 2024, limits truck drivers and couriers to 960 hours of overtime in a calendar year — a marked decrease from current conditions.

JAL is looking for a way to secure freight capacity to locations around the country as it downsizes the passenger fleet to reduce costs and secure its financial health following losses caused by the COVID-19 pandemic. The passenger aircraft provide connectivity for Japanese cities and islands, including by carrying parcels and other cargo in the lower deck along with baggage.

Yamato has acquired two of the three used passenger jets through an unnamed leasing company, which has hired aftermarket aerospace manufacturer Elbe Flugzeugwerke GmbH, an Airbus affiliate, to reconstruct the narrowbody planes for carrying large containers on the main deck. Yamato will provide the aircraft to Japan Airlines, which will supply the crews and carry out regular maintenance through Spring Japan. Yamato will sell the space and manage the schedules for the aircraft, which will sport the Yamato brand.

Conversion of the first A321 for Yamato’s private airline will begin in March at EFW’s Singapore production facility. The A321 freighter can carry 14 full-size containers on the upper deck and 10 smaller ones in the lower hold.

Japan Airlines used to be a large combination carrier with a freighter division. It ended dedicated freighter operations in 2010 as the company took steps to survive the global financial crisis that decimated business. The fleet included Boeing 747-400 and 767-300 freighters. Now it offers limited cargo capacity on passenger aircraft.

Japan Airlines’ use of Spring Japan to fly freighters is similar to how Lufthansa Cargo is outsourcing operation of its new fleet of A321 converted freighters to the Lufthansa Group’s CityLine passenger subsidiary.

The addition of the new freighters to Spring Japan’s air operating certificate is subject to regulatory approval. 

In October, Yamato arranged to ship seafood and other goods from Okinawa to Taiwan on China Airlines passenger aircraft, Nikkei Asia reported.

 Click here for more FreightWaves/American Shipper stories by Eric Kulisch.

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Editor: Eric Kulisch