European Cargo, a British cargo airline based in Bournemouth, has declared bankruptcy following years of financial difficulties. Insolvency proceedings were initiated on June 3, 2026, and the company was placed under the management of external administrators from Teneo Financial Advisory. The carrier has ceased all flight operations and begun staff reduction procedures while engaging with customers, suppliers, and creditors.
European Cargo was founded in 2020 to transport medical equipment under UK government contracts during the COVID-19 pandemic. The company operated a fleet of six converted Airbus A340-600 freighters and, in recent years, flew primarily between China and Teesside Airport in northeast England. Despite revenue growth driven by fleet and operational expansion, the carrier remained unprofitable; in 2024, it posted a net loss of $26 million on revenue of $136 million.
Key factors contributing to the company’s collapse included rising aviation fuel prices and increased operating costs – issues that hit particularly hard given the operation of the less fuel-efficient A340-600 aircraft. A decline in cargo transport orders further exacerbated the situation. European Cargo operated its final flights on May 19, 2026, after which its entire fleet was grounded.