Asiana Airlines Finalizes Cargo Sale to Air Incheon

Asiana Airlines has received final shareholder approval to sell its cargo business to Air Incheon, fulfilling all conditions set by European competition regulators for its merger with Korean Air.

The sale, valued at approximately 470 billion won ($328 million), was finalized at an extraordinary general meeting held on February 25 at Asiana’s headquarters in Gangseo-gu, Seoul.

The transaction includes the transfer of 11 freighter aircraft—10 Boeing 747s and one Boeing 767—and approximately 800 employees. Asiana aims to complete the transfer of assets and personnel by June 10.

“We will enhance our remaining passenger transport business with greater specialization, improve our financial structure through the proceeds from the sale, and increase management efficiency,” an Asiana Airlines official stated. “We will also ensure a smooth transition for employees transferring to Air Incheon.”

Asiana Airlines – Korean Air Merger

The sale is part of the European Commission’s conditions for approving the merger between Asiana Airlines and Korean Air, which required the divestment of Asiana’s cargo business and the transfer of its European passenger routes to T’way Air. The European Commission had expressed concerns about reduced competition between Europe and South Korea, prompting these measures.

Established in 2012, Air Incheon specializes in cargo transport and plans to expand its capacity and influence in the sector through this acquisition.

The sale marks a significant step in the merger process, which began with Korean Air’s announcement to acquire Asiana in November 2020. Despite delays due to the COVID-19 pandemic, the merger is now progressing with regulatory approvals in place.

Asiana Airlines’ cargo division, which began operations in November 1994, has been a crucial player in Korea’s import and export logistics. In 2023, the division recorded a 7% year-over-year revenue increase, reaching 1.71 trillion won, with an annual freight volume of 831,278 tons.