Canadian all-cargo airline Cargojet has successfully navigated the decline in e-commerce shipments from China to North America, a trend exacerbated by U.S. tariffs, by leveraging new business flying for UPS. This new revenue stream, along with redeploying its fleet to high-demand regions like South America, has helped Cargojet mitigate a 32% drop in fourth-quarter charter revenue.

In November, Cargojet was contracted by UPS, and to a lesser extent FedEx, to provide crewed charter flights within their package delivery networks. This demand arose after a significant UPS incident in Louisville, Kentucky, where a cargo plane crash during takeoff led to the grounding of all MD-11 aircraft. Both UPS and FedEx have a combined total of 56 MD-11 aircraft currently out of service for mandatory inspections as the accident investigation progresses.

Flight tracking data from mid-November indicated Cargojet was operating four Boeing 757-200 narrowbody jets on routes between UPS's global air hub in Louisville, Kentucky, and its base at Hamilton International Airport near Toronto. This engagement with UPS has since substantially increased, with multiple daily flights now operating between Louisville, Hamilton, and Toronto, according to Flightradar24. Over the past three months, Cargojet has utilized 14 Boeing 757-200 narrowbody freighters for flights connecting the Toronto area and Louisville. The precise extent of UPS's lease commitment remains unclear due to the interchangeable use of aircraft, with some providing irregular service while others operate daily shuttles for extended periods.