June 25, 2019: Effective June 27, Amazon Air plans to begin flights to Ted Stevens Anchorage International Airport (ANC). ANC has reported recently that the carrier would begin services to the Alaskan hub utilising B767 freighter.

Amazon Air will be based at the airport’s Kulis Business Park, south of the east-west runways.

“This is the second new airline we’ve welcomed to Ted Stevens Anchorage International Airport this quarter, and another business being added to the airport’s business park on the former Kulis Air National Guard Base. Ted Stevens Anchorage International Airport is perfectly situated to support the movement of e-commerce goods between Asia and North America, and this new business fits with our strategy of maximising ANC’s potential for development,” said Jim Szczesniak, airport manager.

While the move further expands Amazon’s growth of its network in the US and its delivery services within Alaska, the move also speculates its expansion to Asia moving forward.

The airport is often used as a strategic hub by express firms to process goods destined for the rest of the US because of its closeness to China. With Amazon looking for increased control over its package network, the airport is, therefore, the company’s first opportunity to get hold of US packages originating from Asia. The company can then fly the parcels directly to its hubs, rather than allowing them to stay in the integrators’ networks for a longer period of time.

Amazon has issued no statement to that effect thus far, though China would clearly be an attractive market for the e-commerce giant. However, Amazon would face tough competition from local Chinese express carriers, including the logistics arm of Amazon’s Chinese competitor, Cainiao, which is making its own efforts to go global.

ANC’s statement is more likely meant to support the airport’s efforts to attract carriers and further develop e-commerce and perishable volumes moving through the airport. Earlier this year, ANC announced plans to construct new facilities in support of its transfer program. Last year, the airport has also welcomed the operations of SF Express, as well as increased frequencies from Cathay Pacific and Cargolux.

Meanwhile, FedEx also uses the airport as a hub and it recently ended its domestic US contract with Amazon. Amazon is also continuing to expand its freighter fleet and last week announced that it will have an additional 15 B737s from GECAS.

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