Cargojet Invests in North Carolina-Based 21Air
Cargojet completed a strategic minority investment in 21Air LLC on 10 August 2021. The Canadian cargo operator acquired a 25% interest in the FAA Part-121 certified carrier.
21Air operates from Greensboro, North Carolina with corporate offices in Miami, Florida. The carrier runs five Boeing 767 all-cargo aircraft. Services include charter, ACMI (Aircraft, Crew, Maintenance, Insurance), and CMI (Crew, Maintenance, Insurance) for air cargo consolidators, freight forwarders, couriers, and global integrators.
Cargojet was already a customer of 21Air before the investment. The deal formalised a two-decade relationship between Cargojet President and CEO Dr Ajay Virmani and 21Air Chairman Jim Crane.
Twenty-Year Partnership Drives Deal
“My relationship with Dr Ajay Virmani goes back over twenty years, and we have accomplished a lot together with our teams,” said Jim Crane, Chairman of 21Air. “We are honored to have Cargojet as our partners and look forward to growing 21 Air into a major player in the international cargo space.”
Dr Virmani positioned the investment as part of Cargojet’s international expansion plan. “This transaction is in line with Cargojet’s previously announced international growth strategy,” he said. “This investment further demonstrates our ambition to build a more diversified and global footprint with strategic partnerships.”
Amazon Canada Agreement Adds Two B767 Aircraft
Cargojet entered a new Air Transportation Services Agreement with Amazon Canada Fulfillment Services, ULC in mid-2021. The deal brought two Amazon-owned B767-300BDSF aircraft into Cargojet’s operation on a CMI basis within Canada.
The four-year contract includes three successive two-year renewal options. Maximum term runs ten years if all renewals execute. The agreement generates additional revenue growth and cash flows for Cargojet over the contract period.
“We are very excited to expand our long-term relationship of providing a portfolio of services which support the rapid growth of e-Commerce in Canada,” Dr Virmani said. “This new four-year Agreement with renewal options is a testament to our relentless focus on exceeding customer expectations.”
E-Commerce Drives Capacity Expansion
Cargojet operates its network with a fleet of 30 aircraft (reported as 27 in some sources during the same period). The carrier serves all major cities across North America. Weekly cargo volume exceeds 25 million pounds.
The Amazon deal reflects Canada’s e-commerce growth. Cargojet provides time-sensitive premium air cargo services, a category expanding rapidly as online retail scales. The agreement positions Cargojet to capture incremental volume from Amazon’s Canadian fulfilment network.
21Air Launches B767-200F Operations for Amazon
21Air began Boeing 767-200F freighter operations for Amazon in November 2024. The announcement came three years after Cargojet’s minority investment. Services expand Amazon’s logistics network with dedicated cargo capacity.
The B767-200F operations complement 21Air’s existing five-aircraft fleet. The carrier serves as a strategic partner for Amazon’s growing air cargo requirements. Independent cargo operators like 21Air provide flexibility and specialised capacity that complement Amazon’s owned fleet.
Cargojet’s International Growth Strategy Takes Shape
The 21Air investment represents Cargojet’s first significant stake in a US carrier. The move provides Cargojet access to US domestic and international routes without operating its own aircraft under FAA certification.
21Air’s FAA Part-121 certification allows scheduled operations. This regulatory framework differs from Canada’s system. Cargojet gains exposure to US cargo markets through 21Air without duplicating infrastructure.
The partnership structure mirrors strategies used by other global cargo operators. Minority stakes create network density without capital-heavy fleet expansion. Both companies continue collaborating on opportunities in the expanding air cargo market.
Freight Industry Perspective: Strategic Partnerships Over Organic Expansion
Cargojet’s dual moves-investing in 21Air and expanding Amazon services-show how mid-tier cargo operators scale. Direct fleet ownership requires massive capital. Strategic partnerships spread risk and accelerate market entry.
The 21Air stake gives Cargojet US market access at a fraction of organic expansion costs. Amazon’s CMI agreement offsets aircraft ownership while guaranteeing utilisation. Both deals demonstrate how cargo operators build networks without overextending balance sheets.
Smaller forwarders face similar scaling challenges. Capital constraints limit fleet growth and geographic reach. Smart partnerships unlock capacity and destinations faster than organic expansion. The key: finding partners whose networks complement your strengths without competing directly.
Frequently Asked Questions
What percentage of 21Air does Cargojet own?
Cargojet acquired a 25% minority stake in 21Air through its August 2021 strategic investment. The deal gives Cargojet partial ownership while 21Air retains operational independence and majority control.
How many aircraft does 21Air operate?
21Air operates a fleet of five Boeing 767 all-cargo aircraft. The carrier also began B767-200F freighter operations for Amazon in November 2024, expanding its operational capacity beyond the initial five-aircraft fleet.
What is a CMI agreement in air cargo?
CMI stands for Crew, Maintenance, and Insurance. Under a CMI agreement, the customer owns the aircraft while the operator provides crew, maintenance services, and insurance coverage. Cargojet operates two Amazon-owned B767-300BDSF aircraft under this structure in Canada.
Where is 21Air headquartered?
21Air is headquartered in Greensboro, North Carolina with corporate offices in Miami, Florida. The carrier holds FAA Part-121 certification, allowing scheduled air carrier operations within the United States and internationally.
How much cargo does Cargojet move weekly?
Cargojet carries over 25 million pounds of cargo weekly across its network. The Canadian carrier operates a fleet of 30 aircraft serving major cities across North America, providing time-sensitive premium air cargo services.
Scale Your Cargo Network Without the Overhead
Cargojet’s strategy shows the power of partnerships over pure expansion. Mid-sized operators need access, not ownership, to compete globally.
Cargo Solutions Network delivers that access. Quote multi-carrier routes across exports, imports, and cross trade in one portal. No subscription fees. No territory limits. Compare rates, book capacity, and track shipments without the infrastructure costs that slow traditional forwarders.
Built by freight people for freight people. Join free and start quoting today.
