US Delivery System (4): Aircraft & FexEx

Industrialization: Aircraft

The United States Post Office Department created the nation’s commercial aviation industry. From 1918 to 1927, the Post Office Department built and operated the nation’s airmail service, establishing routes, testing aircraft and training pilots.

Airmail in 1924 | Source: Time

The year 1952 brought a separation of airline subsidies from airmail. The Post Office Department paid airmail compensation and the Civil Aeronautics Board made all airline subsidy payments, based on national interests aside from airmail.

The needs of passenger traffic overtook those of mail cargo in the second half of the 20th century. Airline companies organized their routes to maximize passenger needs. By 1975, airmail had become a fundamental part of the U.S. Postal Service’s transportation plan. That October, first class mailers no longer had to pay an extra fee for airmail service.

FedEx

In 1971, Smith incorporated Federal Express with his college idea of an integrated delivery system specifically designed to accommodate time-sensitive shipments with airfreight as the core.

By the end of the 20th century, FedEx operated the world’s largest all-cargo air fleet. And it still is the largest now with over 650 aircrafts.

The average age of its aircrafts is 22 (in 2017) as many cargo aircraft are decommissioned passenger jets, stripped and repurposed for carrying freight.

Nowadays, FedEx is still the busiest cargo airline in the world with volumes improving by 3.8% year on year to 17.5bn freight tonne kms (FTK) in 2018.