Transport update on the UAE logistics market for August 2025

Etihad Airways announced the addition of seven new destinations to its global network. Starting November 2025, the airline will inaugurate flights to Medina, with six more routes launching in March 2026: Baku, Yerevan, Tbilisi, Almaty, Bucharest, and Tashkent. These routes will increase direct access between the UAE and Central Asia, Eastern Europe, and the Caucasus.

Etihad successfully launched its first flight to Atlanta on July 2, making it the fifth U.S. city in its network alongside New York, Chicago, Washington D.C., and Boston. Originally launched with four weekly flights, the Atlanta route has already exceeded expectations, prompting Etihad to increase the frequency to daily service starting November 2025.

Emirates announced several notable expansions in July. On July 17, it reinstated service to Damascus, Syria—bringing the "City of Jasmine" back into its Middle East network after a prolonged absence. A day later, the airline revealed plans to launch a third daily service to Dublin starting October 26, 2025, boosting cargo capacity between the UAE and Ireland.

These moves reinforce Dubai’s position as a central hub in East–West logistics and international commerce.

Air Arabia made several announcements underscoring its rapid European and South Asian expansion. The airline will launch daily non-stop flights to Warsaw Modlin Airport starting December 20, 2025—adding to its existing service to Warsaw Chopin and offering greater connectivity to the Polish capital.

Additionally, a new daily route to Munich will begin on December 15, linking Sharjah with one of Europe’s key economic centers. These additions join a growing list of European destinations that includes Vienna, Athens, Milan Bergamo, Krakow, and Prague.

Domestically, the airline also resumed its double daily route to Damascus on July 10 and increased frequencies to Faisalabad and Multan in Pakistan, with a new route to Sialkot further deepening its presence in the South Asian market.

In contrast to the expansion of regional carriers, European low-cost airline Wizz Air announced it will cease operations of its Abu Dhabi-based subsidiary effective September 1, 2025. The airline cited multiple compounding factors, including challenges of operating aircraft in extreme heat, regional geopolitical instability, and regulatory constraints limiting route development.

Wizz Air emphasized that these elements have undermined the long-term viability of its ultra-low-cost model in the Gulf, especially when benchmarked against its more profitable operations in Europe. The closure highlights the complexity of replicating European low-cost success in the Middle Eastern context.

On August 1, Saudi low-cost airline Flynas launched its first-ever regular service between Riyadh and Moscow, marking a historic milestone in bilateral connectivity.

The Airbus A320 flights operate four times per week to Vnukovo Airport until the end of the summer schedule (October 25, 2025). Until now, no scheduled flights had linked Russia and Saudi Arabia. This builds a bridge between countries’ capitals and will enable an increase in mutual trade.

Dubai–Moscow lane has seen little change in recent month. A decline in tourist traffic has led to reduced frequencies in scheduled passenger flights.

• Large cargo shipments are primarily moved via scheduled charter services operating twice per week, with current rates around USD 4–4.5/kg.
• Smaller shipments can be dispatched on daily narrow-body passenger flights, with rates of USD 3–3.5/kg.

Due to the significant price gap, direct uplift on passenger flights remains in high demand, and advance booking is strongly recommended. Capacity is further constrained this summer as Utair and S7 have temporarily suspended their Dubai operations, reducing available belly-hold space on passenger flights.

The situation in the Strait of Hormuz has not disrupted maritime operations, and all major services continue to run as scheduled.

• Import to Russia demand for sea freight remains strong, with rates holding at June–July levels. However, space is typically sold out 10–14 days before the estimated departure (ETD), so advance bookings are highly recommended.
• Export shipments from Russia remain heavily overbooked.