Shanghai is a big cargo airport but not a transhipment hub

“Unlike Dubai or Istanbul, 90% of cargo handled in Shanghai are export-import (EXIM) and not transit cargo. So in the last 18 months, we have taken several steps to develop Shanghai as a real transhipment hub.”

These are the words of Carsten Hernig, Deputy General Manager and VP Production, Sales & Marketing, Shanghai Pudong International Airport Cargo Terminal (PACTL), the independent cargo terminal operator at Shanghai Pudong International Airport (PVG).

To know more about Shanghai, the airports in the city, the cargo flows, the future of China and more, watch Hernig talk to Libin Chacko Kurian of STAT Media Group during the recently concluded air cargo China 2024 in Shanghai.

PACTL is a Sino-German collaboration and the joint venture was founded in 1999 with three shareholders SAA Logistics Development (51%), Lufthansa Cargo (29%) and JHJ Logistics Management (20%).

Hernig points out that the JV combines the knowledge of a cargo airline, logistics company and airport operator thus creating a successful, independent terminal operator. However, he also notes that the success of PACTL is not just in economic terms but also culturally.

As he puts it, “The German and Chinese cultures are complementary to each other. While Germans are known for their hard work, Chinese people are better at building personal relationships.”

In 2024, PACTL is celebrating its 25th anniversary. Talking about the 25-year history of PACTL, Hernig said, “What started with one terminal and less than 10 thousand tonnes in a year has grown to a multi-terminal set-up as one of the biggest cargo hubs in the world. And in this year we will be handling 1.8 million tonnes of cargo.”