South Korea’s Incheon Airport is making moves to consolidate its position as a global logistics hub, and with the arrival of new CEO, Hag Jae Lee, things are looking bright.
Born in 1964, Lee graduated from Seoul National University and earned master’s and doctoral degrees from Chung-Ang University. He previously served as the mayor of Incheon Metropolitan City’s Seo-gu Office, and was a three-term member of the 18th to 20th Korean National Assembly.
In his inaugural address, Lee highlighted the pivotal crossroads at which Incheon International Airport currently stands. “Due to the post-pandemic era and digital innovation, we are encountering a tremendous transformation in our business management environment. We must become a ‘first mover,’ creating value,” he said.
The new chief outlined the gateway’s new focus on creating smart logistics clusters and further enhancing its global route network. This initiative will prioritise several key areas, including the development of a smart cargo terminal, a joint distribution centre for small and medium-sized enterprises, expansion of the global network, and the attraction of air cargo and logistics specialists, including e-commerce and 3PL companies.
In a concerted effort to expand the new network and boost cargo volume, the airport revealed that it is extending incentives to airlines, which include subsidies covering up to 100 percent of landing fees and actual marketing expenses for two years. This is specific for those who are newly incorporated, initiating new routes, or undertaking nighttime operations. Airlines that demonstrate an increase in cargo volumes also get additional benefits.
Incheon International Airport is also implementing joint marketing initiatives using these incentives. In partnership with 12 airlines, the airport is conducting informative sessions and running online joint advertising campaigns to attract a larger cargo volume.
Under the leadership of the new CEO, the airport is focusing on expanding its logistics services through a variety of strategies, with strong emphasis on customer feedback, noted Lee, adding that “the answers lie in the field.” The airport is in productive talks with various global third-party logistics companies.
“By continuously investing in the development of logistics infrastructure and networks, Incheon International Airport aims to adapt to evolving air cargo market conditions and establish itself as the world’s leading air cargo hub.”
As of December 2022, the airport’s cargo-dedicated routes connect to 107 cities across 43 countries via 25 airlines. Connections include 20 locations in China, six in Japan, 10 in Southeast Asia, 27 in North America, five in Central and South America, and 18 in Europe. Including passenger flights, Incheon’s air network offers connections to 152 cities across 53 countries year-round.
