Integrated logistics provider, Teleport, and Etihad Cargo are joining forces to boost cargo capacity and frequency on their respective cargo networks between Southeast Asia and the Middle East.

The firms state the partnership has been created against the backdrop of growing airfreight demand and trade between the two regions.

Trade between the Gulf nations and emerging Asian nations continues to show high growth momentum, surging 35% from $383 billion in 2021 to $516 billion in 2022, and is expected to reach $757 billion by 2030, outstripping growth rate with Western nations such as the US, UK and the Euro Area.

At the same time, air freight demand continues to pose double-digit growth across all regions, having risen 14.1% as of June 2024 according to IATA.

Since signing the partnership in May 2023, Teleport has deployed its freighters for Etihad to ship machines, raw materials, phones and chip sets among others, from Ho Chi Minh to Kuala Lumpur twice a week, with onward connection via Etihad’s capacity to Abu Dhabi and beyond.

The firms say that this partnership also enables both parties to maximise the available passenger belly capacity especially out of leisure hubs such as Bali and Phuket, by leveraging each other’s network strength.

Etihad Cargo will deepen its connectivity in Southeast Asia on the back of Teleport’s extensive network in the region, while Teleport leverages Etihad Cargo’s strong global network to expand its network reach into the Middle East, Europe, Americas and the African regions.

By the end of this year, the firms claim the partnership is expected to see 1,600 tonnes of cargo moved between the two destinations with potential for an increase in flight frequency and new routes.

Stanislas Brun, vice president of cargo at Etihad Cargo, said: “We continue to anchor our strategy on key partnerships that will enable us to better serve our customer needs while supporting global trade.

“This recent partnership with Teleport is important to enhance our connectivity to Southeast Asia, and we are confident that through the integration of their freighter operations and our capacity, we are able to continue to grow and build a more efficient and robust network that better serves both regions, and quickly.

“The market environment is highly favourable to grow our presence here today, and with a strong air partner like Teleport.”

Jagedeswaran Nadrajah, head of Air Partners at Teleport, said: “The integration of Etihad’s global network with our largest Southeast Asia network has opened up a more dynamic way to connect cargo between these two regions – leveraging on the strengths of both our networks.

“This is valuable to both our existing and new customers trading between two important regions. This sort of synergy is a testament to what Teleport has been building through its Air Partners programme as a win-win solution for all Teleport Air Partners, where we can continue to build and grow, and never fly empty.”

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