AMSTERDAM—Air Canada is reinforcing its cargo commitment by ordering 18 high gross weight Boeing 787-10s after canceling its 777F order.
The airline will take delivery of its new 787-10s that have a favorable lower hold freight carrying capability between 2025-27.
Air Canada expects the high gross weight 787-10s to improve freight capacity by 2,000 kg (4,409 lb.) above what it can currently haul on its longest 787 routes.
Speaking exclusively to Aviation Week at MRO Europe in Amsterdam, Steve Harvey, business development manager at Air Canada Cargo, said there was a strong input from the air cargo side when making the decision to acquire the large Dreamliner.
Air Canada relaunched its Air Canada Cargo brand and began operating dedicated freighters after losing about 95% of its cargo capacity at the beginning of the coronavirus pandemic. Now the operator is terminating its agreement to acquire two 777F factory freighters because of the prevailing freight market.
The carrier still has the potential to convert some of its 777-200LR/-300ERs when certified 777 cargo conversion programs by Israel Aerospace Industries (IAI), Mammoth Freighters and Kansas Modification Center come online next year.
Furthermore, its new 787-10 deliveries will coincide with the time the carrier expects to release some of its 777s from passenger service. Notwithstanding using IAI to convert its 767s in the past, Air Canada Cargo did not disclose which 777 cargo converter it will prefer to use if it decides to convert its 777s.
Air Canada Cargo will take three more IAI 767-300BDSF redeliveries, however, it has no immediate plans to increase its 767 freighter fleet beyond 10 aircraft.
“We already owned a considerable number of 767-300ER passenger aircraft, meaning our financial exposure to cargo conversions was a lot less than some of our competitors,” Harvey adds. “This was part of the reason the decision was made to move back into dedicated freighters.”
Harvey says freight rates have reduced but remain above pre-pandemic levels. Since the summer season, there has been a leveling out on cargo volumes after European factory output increases, and it is believed the post-pandemic downward trend in rates has now passed.
