Hong Kong Air Cargo Terminals Ltd. (Hactl) is strengthening operational resilience through a comprehensive digitalization strategy that integrates automation, AI and real-time control systems to future-proof its operations, optimize resource management and mitigate disruptions.
The largest independent air cargo handler at Hong Kong International Airport (HKIA) is advancing a multi-pronged digitalization strategy, including the deployment of autonomous electric tractors (AET) – developed with Westwell – which use AI, GNSS, LiDAR and onboard sensors to tow cargo dollies safely and efficiently across the SuperTerminal 1 ramp.
It has also implemented the Integrated Hactl Control Centre (iHCC), a centralized hub that enables real-time monitoring of the entire Hactl operation and dynamic resource allocation across terminal operations – all with complete transparency. Hactl also continues to expand its use of robotic process automation (RPA), paperless documentation systems, and other digital tools to streamline operations and enhance resilience.
Wilson Kwong, chief executive of Hactl, said the company continues to explore emerging technologies to enhance its operations, strengthen resilience, and meet the evolving demands of global air freight.
“The whole process of automation and digitalization is ongoing, and at Hactl, we have achieved a great deal already. Sustained investment in bespoke hi-tech solutions underpins Hactl’s constant quest for smarter working, greater resilience, and improved performance,” he told Asia Cargo News.
Kwong noted that the iHCC, for example, employs cutting-edge technology to centralize all of Hactl’s operations, systems and maintenance control. It enables duty managers to monitor every aspect of Hactl’s vast operations, from traffic management at its truck parks to the various functional areas of the terminal, including cargo dispatch and aircraft loading. It also proactively monitors workload and enables optimal allocation of resources – a powerful crisis management facility that enables swift, decisive responses to any emergencies, further strengthening Hactl’s operational resilience.
“We’ve also embarked on implementing robotic processes,” Kwong said. The cargo handler began its robotics journey with a small-scale but critical automated parts store, designed to supply urgent spare parts to its engineering team around the clock. This system helps ensure the uninterrupted operation of its large-scale cargo handling equipment, running 24/7 throughout the year.
Kwong noted that the success of this initiative demonstrated the practical value of robotic processes and paved the way for broader applications across Hactl’s operations.
“Currently, we are working on autonomous electric tractors to tow cargo within our facility. This is a work in progress, but it’s definitely going to be another game changer for the business and, indeed, for the industry as a whole, as it removes our reliance on having enough ramp staff available.”
Hactl’s digital journey began decades ago with a vision of a highly automated cargo handling process built on a robust digital foundation. In 1977, it launched the first Community System for Air Cargo (COSAC), an in-house platform designed to collect, store and share data among airlines, freight agents and customs officials. It has since evolved into a multi-layered infrastructure that supports remote administration, cybersecurity and paperless workflows.
Now in its third iteration, COSAC-Plus serves as the digital backbone of Hactl’s operations, driving automation and decision-making across the terminal.
Over the years, Hactl has progressively digitized and, where feasible, automated every aspect of its workflow. COSAC-Plus captures and manages shipment data in real time, powering robotic processes and determining optimal storage locations for both loaded pallets and loose cargo. Each operational event is logged, ensuring full traceability and status visibility for both Hactl and its customers. The system also enhances efficiency for freight agents, who can pre-alert truck arrivals and streamline cargo delivery and collection through integrated mobile apps.
Hactl currently uses AI to monitor the condition of its large-scale cargo handling systems, identifying worn components before they lead to breakdowns. AI also powers the CSS’s ability to determine the optimal storage location for loaded ULDs, reducing crane travel, conserving energy and maximizing the system’s effective capacity.
In terms of security, Hactl also successfully deployed robots to patrol the perimeter of its cargo terminal and the export cargo handling area.
“This initiative significantly enhances our existing CCTV surveillance, ensuring robust physical security and effective monitoring of cargo handling conditions. Additionally, our advanced AI-integrated CCTV system proactively alerts security personnel in the control room to any potential security breaches,” Kwong said.
Kwong said Hactl is proud to be a pioneer in implementing automation in air cargo operations, aiming not only for increased productivity and enhanced operational efficiency, but also for upholding higher standards of cargo security, including cybersecurity. “We use a variety of methods that use automation to reduce human error, monitor and trace cargo, facilitate threat detection, and streamline data processing and management, all at the same time as we enhance physical cargo terminal security.”
Hactl’s investment in digitalization, robotics, AI and autonomous vehicles goes beyond boosting efficiency. It’s also a strategic pivot toward long-term adaptability in a rapidly shifting cargo landscape.
“This is not so much about efficiency as freeing up precious human resources for tasks that make better use of their knowledge and skills,” Kwong said. “Repetitive tasks can be handled by AI, but there are areas where people and their skills are essential.”
As part of its broader push toward digital transformation and operational excellence, Hactl also established Think Park, a purpose-built innovation hub located within its SuperTerminal 1 complex, designed to cultivate creativity, collaboration and continuous improvement across its operations. The space brings together cross-functional teams to explore new technologies, test automation concepts and develop digital solutions that drive smarter, more efficient cargo handling. Think Park serves as a launchpad for initiatives like robotic systems, AI-driven tools and sustainability projects, reflecting Hactl’s commitment to future-proofing its role as a leading cargo terminal operator.
Hactl is also at the forefront of driving electronic air waybill (e-AWB) adoption to streamline air cargo operations. Kwong said Hactl’s COSAC-Plus system, with its enhanced e-AWB functionality, enables the efficient digital exchange of documents with airlines, freight forwarders, and customs authorities.
“The industry, however, continues to face challenges in achieving global adoption. Certain stations still mandate physical documentation for regulatory compliance, while other regions are hindered by legacy IT infrastructure incompatible with e-AWB processing,” he said.
As a ground handling agent, Hactl is actively working with customer airlines and key industry stakeholders to overcome current challenges and accelerate the transition toward full e-AWB integration.
Hactl’s Terminal Services Centre (Export) facility at HKIA (TSCE) also supports export cargo document e-submission, enabling freight agents to submit export cargo documents online in advance, avoiding last-minute rushes and eliminating counter queuing and reducing carbon emissions in the process. A document management system collects and collates data from all export cargo document e-submissions to assist in consolidating documentation and building cargo manifests for each flight.
As Hactl advances its digitalization strategy, it is also prioritizing aligning new technologies with its broader sustainability goals.
Hactl’s science-based targets initiative (SBTi) goal is to reduce both Scope 1 and 2, as well as Scope 3, greenhouse gas emissions by 50.4% by 2030, based on a 2018 baseline. These goals align with the global 1.5°C climate pathway and reflect Hactl’s broader strategy to integrate sustainability into its operations through initiatives focused on electrification, energy efficiency, and waste reduction.
Ongoing trade uncertainties are also pushing companies to remain agile in navigating complex and rapidly changing regulatory environments, Kwong said. This heightened volatility in cargo flows underscores the growing importance of digitalization, which enables real-time data exchange, predictive resource management, and seamless coordination across operations.
Kwong emphasized that collaboration has been central to Hactl’s digital transformation. “We’re proud of these partnerships and will continue expanding our network as we explore new technologies to enhance service coverage and quality,” he said.
Kwong acknowledged the broader ecosystem supporting digitalization in Hong Kong. “The HKSAR government and Airport Authority Hong Kong have played an important role in advancing the city’s digital transformation. We very much welcome this momentum. As awareness and adoption of various digital platforms grow, so too will our competitive edge in managing increasingly complex and demanding operations.”
By Charlee C. Delavin in Hong Kong
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