Excerpt from:  China Supply Chain and Logistics Strategy
.
February 07, 2006

Air Freight Asia 2006

China - Sweden - US Freight Opportunities to be Discussed

The Air Freight Asia 2006 event will be held in Pudong Shanghai next week. I will be with a delegation of Swedish aviation authorities. Visit us at booth #73. The authorities are in charge of all the airports\nin Sweden. The purpose of the visit is to introduce the Swedish\nairports and the opportunities for using the Arlanda (ARN) airport as\na stop over for the China to\nUS route. 

See below for a breakdown of the cost savings involved in using Sweden's Arlanda (ARN) as opposed to Copenhagen (CPH).

Asumptions:

  

-- Operating route SZX - Skandinavia - SZX operated by B747F

  

-- Incentives counted in, i.e 50% discount for the start/landing fee both at ARN (3 years) and at      CPH

-- Handling of 100ton export and 100ton of import cargo.

  

-- Breakdown of origin for the export cargo: 80% Sweden, 20% Denmark (ARN largest exp.region)

-- Breakdown of the destination region of the import cargo: 60% Sweden, 40% Denmark

-- Feeder cost ARN-CPH v v estimated SEK 1.50/kg

  

-- Expected terminal handling cost ARN SEK 0.90 & CPH DKK 1.00

 

-- Aircraft operating cost, Ground speed 850km/h 3626nm (great circle track) flying time 7:54hr      SZX-AR

-- 3898nm (great circle track) flying time 8:30hr SZX-CPH. Operating cost SEK 65.000/hr  
   blocktime

-- EUR 1 = SEK 9.55 & EUR 1 = DKK 7.46

  
   

All in EUR

  

Cost item

ARN

CPH

   

Start/Landing fee incl environment, noise aso.

1,791

1,726

Ramp handling

2,879

3,625

Feeder cost

9,424

21,989

Terminal handling incl appl double handling (both ARN & CPH).

26,890

40,001

Operating cost SZX-ARN/CPH-SZX

131,134

138,167

Total cost per rotation:

172,118

205,508

 
 

Cost advantage ARN, per rotation

33,390

 

Cost advantage ARN, 2flight/week, 50 weeks

3,339,000

 
 

Syndication OptionsRSS (Rich Site Summary) Feed Atom Feed OPML (Outline Processor Language) Feed MYST-ML (MyST Markup Language) Content Feed MS-Office Smart Tag Subscription