Hamilton International Airport operating at Christmas-peak levels of cargo throughout pandemic
Passenger levels down 60 per cent as of September, says director of business
Hamilton's international airport has been running at levels normally only seen at Christmas time for cargo traffic throughout the COVID-19 pandemic.
The John C. Munro Hamilton International Airport measures cargo through a maximum takeoff weight, which includes the airplane and the goods it carries. That weight is up 20 per cent, said director of business development Dina Carlucci, as compared to this same time last year.
"These cargo carriers have been told that, anecdotally, they're operating at Christmas-peak levels since the pandemic started," she said.
The increase is partly due to the rise in people shopping online, Carlucci explained. It's also been bolstered by the movement of medical supplies needed to fight COVID-19 throughout the region.
She added that some of the airport's tenants, like Cargojet, DHL, UPS, and Purolator, were all thriving because of the growth of e-commerce, even before the pandemic.
The result is 10 per cent more landings year-to-date in Hamilton.
Passenger traffic down 60 per cent as of September
The figures don't include the year's end, which is an already busy time for cargo carriers, with events like Amazon Prime Day (which recently passed), Costco Black Friday, and Christmas itself.
"They're preparing for record numbers as it relates to [the end of the year]," Carlucci said.
As of June 30, there was a 6.5 per cent increase in cargo related-revenue.
The airport is Canada's fourth-largest cargo airport and largest overnight express cargo airport. It hit 80 years old on Oct. 14.
But to no real surprise, passenger levels have decreased. Carlucci said the drop is around 60 per cent as of September.
January and February numbers were stellar starts, she said, which seemed to put the airport on track to hit one million passenger trips this year. But when March came, flight and quarantine restrictions changed the reality.
She anticipates that passengers will tally around 65 or 70 per cent down by the end of the year.
Compared to other airports, Carlucci says Hamilton is a bit more optimistic, partially due to the success of Swoop this past summer. Despite a reduced schedule, she said, their flights have gone out relatively full.
She expects low-cost, leisure travel — and not business travel — to bounce back first.
"Customers are obviously gravitating toward that option if they're choosing to fly," she said.
While the company is maintaining service in Hamilton, Swoop announced that it is moving flights to Toronto Pearson Airport. Carlucci said the move is "leaving a gap" with the airport looking at ways to "minimize layoffs" and re-structure.
She said the airport hasn't embarked on anything yet, but "restructuring might be something we have to exercise."
The airport confirmed there has been no layoffs up to this point. Instead, it placed a hiring freeze and stopped back-filling some vacancies.
The airport doesn't have any concerns about increased demand when the holidays arrive. One effect of the reduced number of passengers, Carlucci said, is that there's more room for cargo (though if passengers were to return, she said it still wouldn't be an issue.)
Airport construction
The four-year, $39-million runway and taxiway construction project, partially funded by the federal government, completed year two earlier in October after being given the green-light to continue throughout the pandemic.
It restores the two main runways, taxiways and the airport's lightning system.
The 2nd phase of our Airfield Rehabilitation & Modernization project in 2020 has officially concluded! With an anticipated record peak season for cargo approaching, we are thrilled that our runway is ready to further facilitate the movement of people & goods to/from <a href="https://twitter.com/hashtag/HamOnt?src=hash&ref_src=twsrc%5Etfw">#HamOnt</a> 📦🧳 <a href="https://t.co/asuZDBC8iK">pic.twitter.com/asuZDBC8iK</a>
—@flyyhm
Also in construction on site: DHL is building a $110-million, 200,000-square foot facility for cargo traffic, which is expected to be finished in 2021.
KF Aerospace is also opening a $65-million, 240,000-square foot wide body hangar to service mechanical needs of aircraft. They've partnered with Mohawk College to use the space as a centre for aviation technology, opening in time for next semester.
Amazon is also building a fulfilment centre in Mount Hope on adjacent lands that neighbour the airport. It's scheduled to open in 2021 and sits just outside the airport's boundaries. Another will be built in Stoney Creek.
Carlucci says she believes the company's priority is to first and foremost get the warehouse built, but anticipates their location isn't a coincidence.
"One could only deduce that that move suggests that they want airfield access," she said. "But we have not been officially asked about that."