News / CMA CGM Air Cargo eyes standalone expansion into US market

CMA CGM Air Cargo hopes to expand into the US as soon as possible, following the decision to end its joint-venture with Air France-KLM. 

The early ending of the year-long deal, meant to last 10 years, was explained by some sources as a result of losses at CMA CGM Air Cargo. But others said it ended in part because the agreement was not able to include the US, for regulatory reasons.

CMA’s airline was awarded a US foreign air carrier permit in June 2022, but stopped serving the US several months later. However, with demand highest on US routes, it seems likely CMA will want to incorporate North America into its network.

The shipping group is thought now to want access to US markets as soon as possible, and would find it easier to do unencumbered by the JV and regulatory issues. 

CMA CGM Air Cargo is set to expand considerably, with four A350Fs beginning to deliver from 2025, raising doubt as to whether it has the expertise alone to manage its airline.

However, the group hopes to rely on its vast global network, as well as in-house expertise; it is working on its acquisition of Bolloré Logistics, which has airfreight expertise, as does its Ceva subsidiary. One source in France said it definitely had the capability to run the airline, noting that CMA’s airline started out alone and would be able to do so again. 

It is as yet unclear whether CMA will continue to work with AF-KLM – it still has a 9% share, which it cannot sell until the end of February 2025. It is believed that the airlines are looking at ways to partner, on a smaller scale, on certain lanes.  

Some forwarders have claimed they do not want to book with the French shipping group because of its ownership of forwarders. CMA CGM however, continues to insist that Ceva operates independently of the rest of the group and does not see any difficulties with customers. 

One forwarder said he could understand why the deal ended: “Ocean and air freight carrier collaborations obviously aren’t in harmony. Different mindset. Different approach.” 

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