Freight FedEx signs six-year deal with Qantas Freight

  • FedEx

FedEx has announced, that its subsidiary TNT Australia has signed a six-year deal with Qantas Freight.

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FedEx Express and its group company TNT Australia have released that a six-year deal for a strategic partnership has been signed with Qantas´ freight airline. Over the course of the deal, TNT Australia will perform domestic freight services in Australia.

The agreement is valued at approximately US$ 270 million and provides FedEx with access to the belly space of Qantas and Jetstar domestic services. Furthermore, FedEx will gain access to the freighter network that is being operated by Qantas Freight across the country.

Executive Manager of Qantas Freight, Catriona Larritt, said: “Qantas has had a long-standing relationship with FedEx and TNT in Australia. As FedEx and TNT come together in Australia, our extended agreement will help meet continued demand. Together, we will work to ensure we meet the needs of customers now and into the future.”

Peter Langley, vice president, FedEx Express Australasia, added: “This agreement will enable FedEx and TNT to continue meeting Australia’s intensifying demand for freight, particularly while passenger aircraft belly space capacity remain constrained due to COVID-19. We are actively counselling and working with small, medium and large businesses in Australasia to support their growing demand – especially in the wake of accelerated e-commerce and online shopping.”

FedEx has explained that this long-term agreement with Qantas Freight allows the company to “maintain critical domestic B2B freight volumes across several growing industries”. The domestic freight shipments will be especially for the mining, construction, medical and pharmaceuticals industries.

“Our long-term domestic agreement with Qantas Freight will provide businesses with reliable access to the best connectivity within Australia and to new international markets,” Langley concluded.

FedEx Express is a subsidiary of FedEx Corp. and is providing cargo services in more than 220 countries and territories. The company is using a global freighter fleet consisting of around 450 aircraft. FedEx has installed several bases within its freight network.

Qantas Freight is a subsidiary company of Australia´s flag-carrier Qantas. The division was founded in 2001 and has hubs at the three main airports in the country. The current fleet consists of 13 aircraft. Qantas Freight has become the first airline to use Airbus A321 Freighter this year.

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