After three years of intense negotiations, trade missions and ministerial visits, St Louis’ business and civic leaders are on the brink of securing Lambert-St Louis International Airport (STL) as a Midwest cargo hub for China freight traffic, but only if a critical piece of legislation is passed.

The premise is simple – the Midwest China Hub Commission, a public-private partnership formed in Missouri, is seeking to make the airport a gateway for Chinese freight exporters to access the major agricultural and industrial markets of the ‘Heartland of America,’ – the 20 states of the Midwest.

With regular services to China in place, STL would become a net attractor of capital investment to St Louis and Missouri and an aerotropolis based on time sensitive manufacturing and cold chain products is then expected to rise on the 12,000 acres of vacant land around the airport.

Seeking to take advantage of the airport’s road, rail and river links, its proximity to Missouri’s markets and its central location, the Midwest China Hub Commission and airport authority wants to make STL a freight gateway to China, South America and eventually the world.

“To begin with we are hoping for 2 to 3 services a week, but over time not just China, first in that it puts us on the map but hoping to see other South American countries coming on board, 40-50 freighter flights a week, that’s the goal,” says Rhonda Hamm-Niebruegge, director of Lambert-St. Louis International Airport.

But securing China Cargo Airlines, China Eastern’s freight subsidiary, hinges on the package of incentives called the Aerotropolis Trade Incentive and Tax Credit.

The measure, sponsored by Republican Senator Eric Schmitt in March and discussed, would make some $500 million of tax breaks available for freight forwarders and companies that export cargo by air or tax exemptions for tenants operating freight facilities in designated ‘gateway zones’ around the airport.

The bill has now received its first reading and has been approved by the Missorui House of Representatives with strong support from both sides of the house, it now goes to the Missouri Senate and Schmitt is confident the bill will be passed into law by the Missouri General Assembly by the end of its session on May 30.

“We are hopeful if we will get a vote this session, we are working hard in both chambers,” says Schmitt.

“What the bill offers is a plan, what we are saying is if you come here there is a great abundance of land for development.

“We have broad support from business groups and agriculture, lets use this momentum to get this across the finish line,” adds Schmitt.

A partnership with China Eastern would give the airport a second chance at global cargo hub status after it lost out to Memphis to become the home of FedEx.

Any deal would also give the airport’s route network and traffic a boost. Currently STL’s runway is operating at around 40% of capacity, the number of daily flights has fallen over the last 10 years and the airport does not have a single scheduled international freighter service.

“In the 80’s and 90’s Lambert-St Louis was a significant passenger hub, we never focused on cargo, we didn’t need to, cargo represented just 2% of revenue,” says Niebruegge.

"The question was how can we start really trying to offer a superior product compared with other congested cargo airports. We have been making ourselves known, not just to the Chinese, but also looking to South America and we are in contact with a cargo carrier from South Africa. We also have a great distribution chain: water, road and rail and air," she adds.

According to Mike Jones, chairman of the Mid West China Hub Commission, China's growing middle class is providing a ready market for the beef and pork products that have become famous in the Midwest.

A Lambert-St Louis aerotropolis

STL has some 12,000 acres available for commerical land development. The airport has six warehouses, four of which are occupied, for air freight and other support services.

Aeroterm is currently developing 88 acres into logistics infrastructure but Niebruegge is now looking to "ramp that up" into a masterplanned, integrated cargo complex.

A rail head is available three miles away at Hazellwood and although there is at present no direct rail link but there was at one time and it would be easy to restore, says Niebruegge.

The airport also has existing road links to I-70, I-170 and I270, through which trucking operations can begin.

With the bill having passed the House of Representatives with strong support it is surely just a matter of time before it becomes law.