Teleport and Etihad Cargo Boost Southeast Asia-Middle East Trade

Teleport, an integrated logistics provider, and Etihad Cargo have partnered to inject cargo capacity and frequency on their cargo networks between Southeast Asia and the Middle East.

Teleport, a leading integrated logistics provider, and Etihad Cargo have joined forces to enhance cargo capacity and frequency between Southeast Asia and the Middle East. This strategic partnership aims to capitalize on the surging trade between these two dynamic regions.

Trade between the Gulf nations and emerging Asian economies has skyrocketed, growing 35% from US$383 billion in 2021 to US$516 billion in 2022.

This upward trend is projected to continue, reaching US$757 billion by 2030, outpacing growth with Western markets. Simultaneously, air freight demand remains robust, with a 14.1% increase as of June 2024.

Customer Focus and Benefits

The Teleport-Etihad Cargo partnership is centered around delivering strong value to customers. By combining their strengths, the two companies aim to revolutionize the cargo shipping experience between Southeast Asia and the Middle East.

Accelerated Delivery Times

The increased frequency of flights and expanded capacity will significantly reduce transit times for shipments. This is particularly beneficial for time-sensitive goods such as perishable items, high-value electronics, and urgent medical supplies.

Cost Efficiency

The optimized network and economies of scale achieved through the partnership will lead to reduced shipping costs for customers. By eliminating unnecessary handling and transportation steps, the alliance aims to provide competitive rates without compromising service quality.

Enhanced Reliability

With a more robust network and increased flight options, customers can expect improved reliability in cargo delivery. The partnership’s focus on operational excellence and contingency planning will minimize disruptions and ensure timely shipments.

Expanded Reach

Teleport’s extensive Southeast Asian network combined with Etihad Cargo’s global footprint creates a powerful combination for customers. This expanded reach opens up new markets and opportunities for businesses looking to expand their operations in the region.

Operations Progress Since May

Since their partnership began in May, Teleport has deployed freighters to transport goods like machinery, raw materials, and electronics between Ho Chi Minh City, Kuala Lumpur, and Abu Dhabi.

This collaboration also maximizes passenger aircraft cargo space, particularly from popular tourist destinations like Bali and Phuket.

Etihad will expand its Southeast Asian reach through Teleport’s extensive network, while Teleport gains access to Etihad’s global network, including the Middle East, Europe, Americas, and Africa.

The partnership aims to move 1,600 tonnes of cargo by year’s end, with potential for increased flight frequency and new routes.

Stanislas Brun, Vice President of Cargo at Etihad Cargo, emphasized the importance of partnerships in meeting customer needs and supporting global trade. He expressed confidence in the combined strength of Etihad and Teleport to create a more efficient and robust network.

Jagedeswaran Nadrajah, Head of Air Partners at Teleport, highlighted the complementary nature of the two companies’ networks, creating new opportunities for customers. He emphasized the partnership’s role in demonstrating the success of Teleport’s Air Partners program.

With a strong customer focus, Teleport and Etihad Cargo look to be raising the bar for cargo shipping between Southeast Asia and the Middle East. The partnership is poised to deliver tangible benefits to businesses of all sizes, driving growth and success in the region.