“With the current market sentiment, we believe more airlines will need to review their aircraft utilization, network route justification and optimization of their aircraft capacities to better position themselves in the global market,” Li predicted.
“I think there will be more alliances as carriers look to secure volume in this difficult market,” agreed Andrew Jillings, CEO of Hong Kong-based logistics firm Tigers Inc. However, he added, “I don’t see alliances changing existing forwarder relationships.”
For his part, Large said he has no other alliances on the horizon, explaining that developing one takes a lot of work and time. The dialog with Lufthansa was started years ago by his predecessor, he said.
Some pundits have speculated about the possible ramifications of OneWorld passenger alliance member Cathay teaming up with a carrier from the rival Star Alliance camp, but Large also dismissed this. “Cargo is not part of the OneWorld Alliance, which is just a passenger alliance,” he said. “Cargo has always been separate.”