Teleport, an integrated logistics provider, and Etihad Cargo have announced a partnership to increase cargo capacity and frequency between Southeast Asia and the Middle East, responding to growing airfreight demand and trade between the two regions.
The collaboration, which began in May, has seen Teleport deploy freighters for Etihad to transport goods such as machines, raw materials, phones and chip sets from Ho Chi Minh City to Kuala Lumpur twice a week, with onward connections to Abu Dhabi via Etihad’s network.
Stanislas Brun, Vice President of Cargo at Etihad Cargo, said the partnership is crucial for enhancing connectivity to Southeast Asia.
“We continue to anchor our strategy on key partnerships that will enable us to better serve our customer needs while supporting global trade,” Mr Brun said.
The partnership aims to leverage each company’s network strengths, with Etihad deepening its Southeast Asian connectivity through Teleport’s extensive regional network, while Teleport gains access to Etihad’s global network in the Middle East, Europe, Americas and Africa.
Jagedeswaran Nadrajah, Head of Air Partners at Teleport, highlighted the benefits of the collaboration.
“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,” Mr Nadrajah said.
The companies expect to move 1,600 tonnes of cargo between the two destinations by the end of the year, with potential for increased flight frequency and new routes.
This partnership comes amid surging trade between Gulf nations and emerging Asian countries, which grew 35% from US$383 billion in 2021 to US$516 billion in 2022. Trade is projected to reach US$757 billion by 2030, outpacing growth with Western nations.
Additionally, air freight demand has shown double-digit growth across all regions, rising 14.1% as of June 2024.
The collaboration also allows both parties to maximize available passenger belly capacity from leisure hubs such as Bali and Phuket.