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July 8, 2026
Business

IATA forecasts strong year for cargo operators

The global air cargo sector is projected to grow by 5.5 percent in 2025, according to the International Air Transport Association (IATA), outpacing the anticipated global GDP growth despite persistent economic and geopolitical uncertainties. Brendan Sullivan, IATA’s Global Head of Cargo, shared the outlook during the opening day of the World Cargo Symposium 2025 in  Dubai. He emphasized that the projected increase follows a robust performance in 2024, driven by improved global demand. Sullivan noted that the momentum from 2024 is expected to continue, providing a strong foundation for sustained growth across the industry.

Speaking to the media, Sullivan remarked that the Middle East, and in particular the UAE, is strategically placed to benefit from the industry’s upward trajectory. He attributed this to the region’s modern infrastructure and its ongoing investment in advanced logistics networks. He cited insights from Emirates SkyCargo as evidence of the region’s growing prominence in the global air freight landscape. According to Sullivan, the UAE’s logistics sector is distinguished by its global connectivity and its emphasis on flexible, customer-focused solutions. These factors, he said, are key to sustaining long-term competitiveness in the market.

Sullivan also identified significant opportunities for the Middle East to expand its role in handling specialized cargo, including pharmaceuticals and perishables. These categories are expected to see consistent growth due to their reliance on fast, temperature-controlled transport, a segment where air cargo remains critical. However, Sullivan acknowledged that the sector continues to face challenges, particularly with the delayed delivery of new aircraft. He explained that while current fleets remain operational and capable of meeting present demand, delays hinder the sector’s ability to improve operational efficiency, especially in terms of fuel performance and cost-effectiveness.

Despite these concerns, Sullivan expressed confidence in the industry’s resilience, noting that existing capacity is sufficient to sustain growth in the near term. The broader focus, he said, remains on long-term fleet modernization to enhance sustainability and reduce emissions. The World Cargo Symposium 2025 continues in Dubai this week, bringing together industry leaders to discuss the future of air freight, operational innovation, and strategic growth amid a shifting global economic environment. – By MENA Newswire News Desk.

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