New Philippines-based carrier Skyway Airlines hopes to expand its fleet and network after stretching its wings with its first international flight earlier this month.

Skyway obtained its AOC in July 2024 after leasing a 1998-vintage 737-400BDSF (29208) from AerCap. It is the first 737-400 freighter operator in the Philippines and intends to add more of the type.

“It took us two and a half years to get our AOC,” founder and Chief Executive Jose Peralta says in this week’s episode of “Cargo Facts Connect,” recorded at Cargo Facts Asia 2025 in Shanghai this week.

“And there’s a prerequisite with the Philippine authorities that you have to demonstrate domestic operations first before you go international. So, there were a lot of preparations, a lot of legal documents that we needed to submit. We had to undergo hearings with the Department of Transportation just to get our permit to operate internationally.”

While the first international flight was from Clark (CRK) to Hong Kong (HKG), Skyway is working on developing other routes and could start flying to Macau (MFM) soon.

“We are applying for our CCAR 129 permit for China,” Director of Business Development and External Affairs Vedant Bhardwaj says. “That’s why we are here. So, we’re looking into that and definitely another destination which we see is Vietnam.”

Domestic operations are challenging because of competition with sea freight rates and belly cargo rates, whereas Skyway can achieve better rates for international e-commerce, for example, Peralta says.

“We’re trying to solve a problem; to connect the islands and also connect the Philippines to the outer regions,” he says. “So, that is the goal, and that is the aim, and hopefully we get to achieve it.”

Tune in to this week’s “Cargo Facts Connect” to hear more on Skyway as Peralta and Bhardwaj speak with Cargo Facts Editor Jeff Lee and Senior Associate Editor Robert Luke at Cargo Facts Asia 2025 in Shanghai.