The Port Authority of New York and New Jersey plans to expand facilities at Newark Liberty International Airport to address a rise in demand for cargo space and services.
The authority is seeking proposals from firms to lease, operate and maintain two of the airport’s major cargo buildings. The facilities will create cargo connectivity to the passenger terminals.
At Newark Liberty, nearly 40 percent of cargo is carried in both domestic and international passenger flights.
Currently, the airport is an international shipping hub for carriers such as FedEx and UPS. However, once a contract is awarded, the airport will transform its operations to compete in the growing air cargo market.
“With the presence of robust distribution channels in the region, the Port Authority has a strategic objective to position its air cargo facilities at Newark Liberty to meet growing demand,” Port Authority Chairman Kevin O’Toole said. “COVID-19 has shifted the way products are moved from one market to the next, and our airports are uniquely suited to assist cargo operators.”
The COVID-19 pandemic caused air cargo volumes to drop, but Newark Liberty’s volumes began to rebound in December.
The local air cargo market contributes $4 billion in sales and $1.5 billion in wages throughout the Newark region and supports 22,000 jobs.