Fearless of tariff threats, Qatar Airways optimistic prediction: E-commerce boom driving freight volume up by 10%

Mark Drusch, Chief Cargo Officer of Qatar Airways, said that strong demand for fast delivery from shoppers will drive an estimated 10% increase in air cargo volumes this year, offsetting the potential slowdown in growth in major economies. Drusch stated that the company's e-commerce business grew by approximately 25% last year, and is expected to achieve double-digit growth by 2025. He also highlighted that semiconductors and consumer products from major economies will be bright spots in the coming year, with the company forecasting a 5% to 10% increase in total cargo capacity. "We have all become accustomed to shopping online and expecting quick deliveries. We expect this trend to continue without slowing down, and so do our partners," Drusch said. Against the backdrop of rising global supply chain risks, Qatar Airways remains optimistic about the outlook for the year ahead. The potential increase in tariffs by US President-elect Donald Trump following his inauguration has caused concern for many companies, while geopolitical unrest and sluggish growth in major economies may also affect trade flows. Although the policies of the new US government are still unclear, Drusch is not worried about the risk of increased tariffs by the US. However, he pointed out that the possibility of further economic slowdown in Europe could negatively impact the industry. Nonetheless, Qatar Airways expects growth in the mainland Chinese and Indian markets. Through its partnership with Cainiao, a logistics company under Alibaba, Qatar Airways plans to deploy an additional 5 freighters in mainland China. Drusch mentioned that Qatar Airways will announce plans to increase its freighter fleet this year. Qatar Airways is the second largest cargo airline, behind FedEx, in terms of freight volume. The airline owns 28 Boeing 777 freighters for its cargo business and will start using 34 new generation 777-8Fs from 2028. Additionally, the airline has the cargo capacity of over 200 passenger aircraft.