LATAM Airlines open to exclusive e-commerce partnership to boost cargo unit

Chile’s LATAM Airlines is open to signing an exclusive contract with an e-commerce operator in Latin America as it looks to boost its cargo unit due to persistently weak passenger demand resulting from the coronavirus pandemic, an executive said. E-commerce has grown substantially in Latin America during the pandemic although it has historically lagged due to poor infrastructure. Argentina’s Mercadolibre Inc dominates in the region, especially in Brazil, and has a small fleet of in-house planes. Amazon.com has also been making inroads in Latin America. While signing an exclusive cargo contract is a possibility, Andres Bianchi, the CE of LATAM’s cargo division, said the company may also create a system “where different players who want to participate in e-commerce have access to capacity and use our network.” “We are seeing e-commerce as a trend in the region that will continue growing, not just domestically but increasingly internationally,” Bianchi said. LATAM, the largest carrier in the region, filed for bankruptcy protection last May.<br/>