Jobs lost as freight firm enters administration
Teesside International AirportAn air freight company has entered administration leading to the loss of 178 jobs.
European Cargo Limited launched six years ago and is known for converting former passenger aircraft into freight planes, which it later used to transport PPE from Malaysia to the UK during the Covid-19 pandemic.
The company is headquartered at Bournemouth but began running flights from Teesside Airport in March.
It entered administration on Wednesday and blamed its closure on "reduced flying activity" and rising fuel prices.
A spokesperson for the company said: "The company has ceased trading and, regrettably, redundancies are being made.
"Affected employees are being contacted as a priority and the joint administrators are focused on supporting them through this process, while also engaging with customers, suppliers, creditors and other key stakeholders."
Multimillion-pound losses
European Cargo's last published financial accounts showed it made a pre-tax loss of $26m (£19.4m) in the year ending 31 December 2024, on top of a $30.6m (£22.8m) loss in the previous year.
Its 2024 accounts also showed it had net liabilities of $41.8m (£31.1m).
News of the administration comes three months after European Cargo announced it would create a new base at Teesside Airport Business Park.
The deal saw five flights leave the airport each week carrying a total 375 tonnes of freight.
At the time, the airport's managing director Phil Forster described the deal as "transformational" and "firmly positioning the airport as a strategic location for aviation, freight and future investment".
A spokesperson for Teesside International Airport said none of its employees would be affected by the collapse.
"We remain committed to supporting the aviation freight sector and are in active talks with other global operators."
Bournemouth Airport has been contacted for comment.
