We have prepared a transport update on the UAE logistics market for May 2025.
Global market news
US Global Tariffs: The US has announced a package of large-scale “retaliatory” tariffs, though most of them have been temporarily suspended. Tariffs on a number of Chinese goods have nonetheless been enacted, although the US administration signals a possible adjustment in policy. According to analysts, the new tariff increase proposed by the Trump administration will add approximately 3% to construction costs in the UAE and up to 7% in Saudi Arabia - primarily due to the rising cost of metal products and cement. The risk to Emirati exports (oil, aluminum, precious metals) remains minimal; if needed, trade flows can be easily redirected to Asia.
In the long term, low tariff rates on goods from the UAE may further strengthen the country's position globally through "friend-shoring": manufacturers from countries with high tariffs are considering the Emirates as a hub for assembly and re-export.
Regional Projects and Partnerships: DP World has announced the development of the 2.7 million ft² Bharat Mart trade and warehouse complex in the JAFZA free economic zone. The first phase, including showrooms and warehouses, will open in 2026 and accelerate trade between the UAE and India.
Russian Exports to the Emirates: Russia is ready to increase its supply of grain, halal meat products, fats and oils, and confectionery to the UAE. In 2024, the volume of food exports rose by 30%, and a high level of exports is projected for this year as well.
In addition to traditional Russian export goods, the Emirati market has expressed interest in modern pharmaceuticals from Russia. The two sides have agreed to prepare a memorandum of cooperation and a roadmap for implementation, as well as a memorandum with the local regulatory authority in the field of medical and pharmaceutical products.
Air Freight
The UAE cargo transport market is highly developed and offers options for various types of cargo and budgets. Air freight is one of the market’s most competitive logistics sectors. It is understandable - national carriers provide shippers with direct access on wide-body aircraft to major global airports.
Key routes update
Dubai's high tourist season is coming to an end, but until May 26, Russian airlines (Aeroflot, S7) will still operate wide-body aircraft. This is a good opportunity to ship cargo at rates that have remained stable throughout the season at USD 3–4/kg. From the end of May, as aircraft types change, the primary option for pallet cargo shipments will be regular and charter freighter aircraft. Rates for these summer flights are forecasted at USD 4.5–5/kg.
As temperatures in Dubai rise, so does demand for travel to countries with milder climates. In June, Etihad will add three weekly wide-body flights to Prague and Warsaw, offering access to Central Europe without transshipment. This summer, Etihad will also launch an A350-900 flight to Atlanta, increasing the airline’s US entry points to six.
The A350 has also been added to the fleet of another UAE national carrier—Emirates. Starting mid-year, these new aircraft will serve routes to Jordan, Turkey, Vietnam, Saudi Arabia, and Norway.
Flydubai has announced seasonal routes due to increased tourist traffic and introduced permanent flights to Cairo, Volgograd, Mombasa, Poznań, and two destinations in Malaysia.
Additionally, in April, flights to the Syrian capital Damascus resumed from Dubai and Sharjah airports via Syrian Air.
Ocean Freight
Key routes update
In May, three direct sailings are scheduled from Jebel Ali to the port of Novorossiysk, and three to the port of Saint Petersburg. Bookings for early May sailings are nearly full; spaces are available for later departures. Rates have remained at April levels, and volume-based special offers can be negotiated with shipping lines. Standard equipment is widely available; specialized containers (RF, FR, OT) are available upon request. Stable schedules and transit times allow deliveries to Novorossiysk in 20 days and to Saint Petersburg in 28 days.
At the end of April, Maersk announced a Peak Season Surcharge of USD 500 for exports from the UAE, Saudi Arabia, and the entire Indian subcontinent to the US and Canada, regardless of equipment type.
Hapag-Lloyd also raised its rates: in April, the German carrier announced a General Rate Increase of USD 1,000 per container on all equipment types from the Middle East and India to the US and Canada, effective May 20.
MSC has released its updated Asia - India - Middle East 2025 network booklet with a focus on two main service blocks:
- Falcon – a weekly direct service connecting North and Central China ↔ Jebel Ali, Abu Dhabi, and other Middle Eastern ports;
- Clanga – a fast service to China and Korea from Gulf countries via MSC’s hub in Abu Dhabi.