Ethiopian Airlines announced on Wednesday that it will purchase five big 777 freighters from Boeing, the latest effort by Africa’s largest cargo operator to dramatically expand its fleet ahead of a predicted increase in trade volumes for the region.
The purchase follows an earlier letter of intent signed by Ethiopian in early March for five next-generation 777-8 cargo planes, which Boeing (NYSE: BA) intends to begin producing in 2027.
Ethiopian’s cargo business now operates nine 777 freighters as well as three standard-size 737-800 modified freighters. It also handles all cargo movements on the airline’s huge fleet of wide-body passenger planes.
“The addition of these five 777 Freighters to our cargo fleet will allow us to satisfy the increased demand in our cargo business,” stated Ethiopian Airlines Group CEO Mesfin Tasew. The joint release made no mention of the delivery date for the first 777 freighters.
The twin-engine, long-range freighter has a maximum payload of 118 tons while using 17 percent less fuel than older aircraft types such as the 747-400.
Boeing predicated its long-term regional forecast for 250 new widebody aircraft on projections that Africa’s GDP will develop at a 3 percent annual rate over the next 20 years. The African Continental Free Trade Area and Single African Air Transport Market plans are also expected to boost trade, as is the continent’s working- and middle-class population doubling. The freighters will allow Ethiopian to expand its worldwide route network and frequency to support the increase in cargo movement.
