Challenge Group announced the signing of a Memorandum of Understanding (MoU) with China Henan Aviation Co., Ltd., the holding company owning CGO Airport.

The MoU was signed on June 25 at the Air Cargo China trade show, marking a significant step in expanding Challenge Group's footprint in China.

It will increase flight frequency, enhance connectivity (RFS), and boost capacity for e-commerce and other commodities.

Currently operating five flights per week, Challenge Group plans to increase this number, further solidifying CGO Airport as a multimodal hub for penetrating the Chinese market 

The state-of-the-art CGO dual hub is fully equipped for optimal operations throughout the supply chain. It combines highly trained staff with cutting-edge automation tools and line maintenance activity. The hub plays a crucial role in feeding important destinations in and out of China with road feeder service and rail links.

"We are very pleased with this agreement, which aligns with Challenge Group's expansion plan and corporate values," said Yossi Shoukroun, CEO of Challenge Group.

"This partnership supports our business model based on strategic collaborations and strengthens our position in the global logistics industry."

This collaboration comes just two months after CGO Airport and Henan Civil Aviation Development and Investment Co., Ltd. (HNCA) merged into a new group, enhancing the strategic significance of this MOU.

Challenge Group said its service offering will be complemented by expert end-to-end solutions and last-mile delivery services, ensuring seamless operations and improved service quality for customers.