Turbulence characterized the air cargo industry in 2022 for the third consecutive year. 

The easing of COVID conditions in most of the world was positive for reopening trade, but the recovery wasn’t always smooth for airlines, airports and aircraft manufacturers. China continued to maintain a series of lockdowns that constrained air traffic. The biggest shock to the system was Russia’s invasion of Ukraine, which drove up fuel prices and helped send the airfreight market into a steady decline for the remainder of the year.

Here are the highs and lows from a year that was anything but routine:

Thumbs up 👍: Mergers and acquisitions

Air cargo traffic slumped in 2022, but that should have been expected after a historic 2021 heavily influenced by unprecedented supply chain distortions. Experts are bullish about long-term air cargo prospects, with projected compound annual growth of 4%. Express operators can expect even better demand, fueled by the continued shift in online shopping.

An investment group led by Apollo Global Management agreed last summer to buy Atlas Air (NASDAQ: AAWW), a major provider of airfreight transport and leased cargo aircraft, for $5.2 billion, including debt. Atlas Air operates about 100 all-cargo aircraft, including the largest fleet of Boeing 747 freighters in the world. 

It was the largest acquisition in the cargo airline sector this year and underscored the confidence large investors are placing in the sector as…