Officials from the UAE have indicated that it is premature to assess the repercussions of the ongoing global tariff dispute, expressing that they are “closely monitoring the situation.” They maintain a hopeful outlook and confidence in their ability to mitigate the effects of this evolving crisis.
They highlighted potential shifts in trade patterns and emphasized the need for establishing systems that support the cargo and aviation sectors in overcoming such challenges.
Badr Abbas, senior vice president of Emirates SkyCargo, noted that the industry has encountered considerable disruptions in recent years, making resilience and adaptability paramount concerns.
“We continue to face various global trade challenges, including tariffs. At this point, we won’t make predictions regarding the effect of tariffs on global trade, but our industry’s collective effort should focus on developing systems that can endure future shocks, whether they stem from geopolitical, economic, or environmental factors,” Abbas remarked during the World Cargo Symposium, which commenced at the Dubai World Trade Centre on Tuesday.
The United States has imposed significant tariffs on numerous countries, particularly China, leading various nations to retaliate with increased tariffs on American goods. This trade war has caused market volatility, contributing to declines in stock prices and driving gold prices to record highs due to anxiety over the overall economic impact and potential recessions.
“It is untimely to speculate on the effects of the tariff situation. We remain flexible and robust, viewing disruption as a chance for innovation and staying confident about long-term growth. Demand for our offerings remains high. We will continue to monitor developments carefully and adapt as necessary. The US remains a crucial market for us, and we are currently operating at full capacity,” Abbas stated during a recent press briefing.
“Dubai provides unmatched access to dynamic markets. Our strategic location allows air transporters like us to reach two-thirds of the world’s population within an eight-hour flight. The city’s progressive aviation regulations attract over 100 airlines, facilitating extensive air transport networks for goods and people through this major trading center,” he added.
As part of the Dubai Economic Agenda (D33), plans are underway for the city to become a leading multimodal global logistics hub, excelling in connectivity, services, and operations. “Dubai is where the future unfolds. For Emirates SkyCargo, opportunities abound. We anticipate that the next decade will bring transformative changes to our industry,” he asserted.
UAE’s Minister of Economy, Abdulla Bin Touq Al Marri, emphasized that the industry stands at a pivotal juncture. “On one side, we observe rapid sector growth driven by booming e-commerce, rising demand for just-in-time logistics, and the emergence of new markets. Conversely, we are confronted with global challenges, geopolitical instability, increasing regulations, and most recently, the global tariff conflict. The current figures embody both opportunities and responsibilities,” Al Marri stated during his opening remarks at the Symposium.
Shifts in Trade Flows
Clive Sauvé-Hopkins, CEO of airport operations at dnata, mentioned that the global tariff dispute has not altered the circumstances for their ground handling operations. “We adjust our strategies as markets evolve. Our extensive global presence spans 99 airports across key hubs. We anticipate some changes in trade flows and will adapt accordingly,” he noted.
Dnata recently achieved a notable milestone, handling over 1 million tonnes of cargo in Dubai from April 2024 to March 2025—the highest volume ever managed by the company in a single year.
This record marks a 30 percent increase year-over-year, fueled by robust demand for dnata’s reliable and high-quality services. Operating from both Dubai International (DXB) and Al Maktoum – Dubai World Central (DWC) airports, dnata currently supports more than 120 airline partners, managing a diverse array of cargo including perishables, pharmaceuticals, hazardous materials, live animals, aircraft engines, and vehicles.
Willie Walsh, Director-General of the International Air Transport Association (IATA), remarked that it is “far too early to forecast” the impact of tariffs as the US administration reviews its trade policies to address the identified trade deficit.
“I am confident that our industry will navigate through this crisis successfully,” he stated during a media briefing on Tuesday.