SmartLynx, a Latvia-based provider of aircraft and crews for airlines, is abandoning freighter operations and its fleet of Airbus A321 converted cargo jets to focus on passenger flying, the company said Thursday.
The for-hire airline, part of Avia Solutions Group, said it is streamlining its fleet to only have narrowbody Airbus A320 and A321 passenger aircraft because a common fleet is less expensive to operate. The announcement indicated SmartLynx Airlines is downsizing the fleet of narrowbody freighter aircraft, but a spokesperson said the company is actually exiting the all-cargo business.
“As part of the fleet restructuring, the company plans to redeliver most of the A321 freighter aircraft to the lessors, eventually phasing out the freighter fleet,” Gita Deniskane said in a statement to FreightWaves.
The restructuring, which also involves transferring SmartLynx Airlines’ nine Boeing 737-800 passenger planes to other Avia Solutions subsidiaries, is expected to be completed by midyear, according to the announcement.
SmartLynx grew from a dozen to 68 aircraft over five years as airlines sought help with capacity to meet post-pandemic demand and cope with disruptions caused by the war in Ukraine.
SmartLynx Cargo had a goal of being the largest charter operator of A321 converted freighters in the world. Last fall it had 13 of the standard cargo jets, although some were dry leased to other airlines. Brazilian startup Levu Air Cargo, for example, last year leased an A321 freighter from SmartLynx.
Disbanding the cargo business follows last month’s decision by DHL Express to terminate its contract with SmartLynx Airlines as part of a cost-cutting initiative. SmartLynx Cargo provided daily shuttle service in DHL’s European parcel network utilizing at least four A321 freighters.
Most of the eight remaining cargo jets in the SmartLynx fleet have been parked for several weeks. Flight tracking apps show only two freighters are in service.
Meanwhile, Bratislava, Slovakia-based AirExplore, another Avia Solutions Group contract carrier, last week said in a news release that “it will change its approach for narrow-body cargo operations to align with changing market conditions and secure long-term businesses that drive profitability.”
The fleet includes eight Boeing 737-800 converted freighters, which serve the same type of regional market as the A321. The company plans to continue investing in its dedicated operations for passenger airlines. Taken together, the two statements suggest that cargo will be deemphasized.
AirExplore, which expanded from nine to 16 aircraft last year, couldn’t be reached by press time for more details.
SmartLynx is the latest airline to shut down a regional cargo operation amid a glut of narrowbody freighters. Avia Solutions Group last April pulled the plug on subsidiary Bluebird Nordic because of low demand for airfreight service. The airline, which provided crewed aircraft to DHL, FedEx, UPS and other airlines, returned four Boeing 737-400 and three 737-800 converted freighters to lessors. Canadian passenger airline WestJet closed its freighter division, which utilized four 737-800s, after one year because it couldn’t generate enough business providing scheduled cargo service.
Other narrowbody operators, like Global Crossing Airlines, have paused plans to grow freighter fleets.
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Write to Eric Kulisch at ekulisch@freightwaves.com.
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