Good morning, friends. The news cycle has slightly slowed down as we head into the weekend. Still, we have a robust issue, led by the CMA CGM decision to reroute a major India-Pakistan-US service through the Suez Canal after a two-year hiatus, as well as Khazna’s expansion into the Saudi market.
ALSO IN TODAY’S ISSUE- Part two of our interview with the Egyptian Customs Authority head Ahmad Amawi, which dives into the country’s plans for customs facilities and digitization, as well as the role new infrastructure plays in streamlining procedures.
** A QUICK PROGRAMMING NOTE- EnterpriseAM Logistics will not be publishing on Monday and Tuesday next week, as we gather our editorial team to work on what’s next for EnterpriseAM. We’ll be back in your inboxes at the usual hour on Wednesday.
WATCH THIS SPACE-
#1- Egypt’s Civil Aviation Ministry is officially accepting applications from private sector players looking to manage, operate, and develop Hurghada International Airport, marking a significant milestone in the government’s airport privatization push, according to a statement from the ministry. The public-private partnership will work toward improving the operational efficiency of the transit point and the services offered to passengers while fully maintaining the state’s ownership of the asset.
Hurghada International Airport will serve as a pilot project for a wider privatization push in the sector, which will eventually see 11 airports developed through public-private partnerships under a program designed with the International Finance Corporation.
ALSO FROM EGYPT- DHL to invest EUR 24 mn in its planned warehouse in Yanmu: DHL Express’ planned distribution center in Egypt, in partnership with our friends at Hassan Allam Holding’s Yanmu, will have a EUR 24 mn investment ticket, the company said in a statement (pdf). The new hub — announced earlier this month — will be built in Yanmu’s East Cairo Logistics Park and is set to become DHL’s largest in Egypt to serve as a key part of DHL’s regional expansion across the Middle East and Africa.
The details: The facility spans 13k sqm, with 11k sqm of built-up space. Once completed, it will double DHL’s operational capacity in Egypt, accommodating more vehicles and enabling faster pickup and delivery times. The company expects to support its target to expand its business volumes by 27% by 2035.
#2- Wider adoption of long-haul aircraft models is expected to boost Dubai airports’ reach to over 600 destinations, up from the current 240 locations, Dubai Airports CEO Paul Griffiths told Khaleej Times. With local and foreign carriers scheduled to receive new long-range aircraft in the coming years, Griffiths believes Dubai will be able to boost its aviation hub status by tapping new routes to “secondary cities” in Asia, Europe, and Africa.
It’s not just widebodies anymore that can handle long-haul trips, with new narrow-body models now capable of flying up to nine hours, with a passenger capacity of up to 200 people, Griffiths explained.
Airport expansions are another piece of the puzzle: Dubai International Airport’s (DXB) annual traffic is slated to hit 95.3 mn passengers by the end of the year, before reaching an expected 100 mn passengers over the next 18 months. Dubai is also planning a new USD 10-12 bn airport project, Al Maktoum International Airport (DWC), that is expected to boost Dubai airports’ capacity to handle 260 mn passengers. DXB is expected to be integrated into DWC — which is planned to be five times DXB’s size.
#3- Airbus closed its acquisition of key Spirit AeroSystems sites across the world, including one in Casablanca, according to a statement. The Moroccan site — joining the company as Airbus Atlantic Maroc Aero — produces wing components and ventral beams for the A220 model, as well as the A321 model’s flap track stringers. The facility spans 25k sqm and employs some 800 workers.
What else is Airbus taking over? The European planemaker acquired sites in Northern Ireland, the US, and Scotland. The sites manufacture fuselage sections, wing components, and pylons. Airbus will be absorbing 4k employees via these acquisitions.
ICYMI- Boeing also closed its USD 4.7 bn acquisition of some Spirit AeroSystems assets this week, taking over Boeing-related commercial production operations, covering fuselages for the 737 model and other major structures for the 767, 777, and 787 Dreamliners.
#4- The year 2025 could be a turning point for Boeing: US-based jetmaker Boeing is well poised to beat its rival Airbus on new orders in 2025 by a big margin, after already bagging orders for some 1k jets, after cancellations, through the end of November — compared to Airbus’ 797-jet orderbook, Bloomberg reports. Unless Airbus pulls a miraculous comeback in December, Boeing is set to beat Airbus’ annual orderbook for the first time in six years after a spate of supply chain disruptions, quality and safety issues, and labor action put a dent in Boeing’s new orders and delivery rates.
Are the tables turning? Airbus has recently trimmed its delivery targets for the year to 790 jets, down from the initial target of 820 deliveries, mainly due to quality issues with the fuselage panels used in the A320 family — the world’s best-selling narrow-body model. Meanwhile, Boeing has dramatically improved its delivery rates this year but is still behind Airbus, with estimates placing Boeing’s year-end deliveries at 590-600 jets.
MARKET WATCH-
#1- Oil prices were little changed this morning as markets continued to wait for updates on the Russia-Ukraine peace talks, Reuters reported. Brent crude futures dropped by USD 0.05 to trade at USD 62.16 / bbl as of 04:00 GMT, while US West Texas Intermediate (WTI) was down USD 0.01 to USD 58.45 / bbl.
#2- Baltic index continues to slide: The Baltic Exchange’s dry bulk sea freight index — which tracks rates for the capesize, panamax, and supramax vessel segments — dropped by 5% to 2,430 points on Wednesday. The capesize shed 7.5% to 4,284, while the panamax index declined 1.2% to 1,764 points, and the smaller supramax index slipped by 14 points to 1,405.
DATA POINTS-
#1- Regional air cargo traffic is slated to contract by up to 1.5% in 2025, before flatlining at a forecasted zero percent growth rate in 2026 — largely driven by geopolitical tensions and the easing of shipping disruptions in the Red Sea, says the International Aviation Transport Association (IATA) in its latest Air Transport Global Outlook report (pdf).
This comes in contrast to the global trend, where air cargo is projected to record a 3.1% y-o-y growth rate for 2025 — a 0.7% increase from the IATA’s previous June forecast. The upward trend is largely driven by Asia-Pacific cargo traffic, which is forecasted to rise by 8.5% y-o-y in 2025.
Cargo figures are also at odds with the region’s robust passenger outlook, which is expected to settle at a 6% y-o-y growth rate this year, before rising slightly to 6.1% y-o-y in 2026. The region also takes the cake revenue-wise, generating the largest bottom line margin per passenger — with regional carriers expected to generate a net income of USD 6.8 bn next year.
#2- The region’s logistics sector is set to double in size this year compared to 2020, driven by robust long-term gov’t strategies and a booming e-commerce sector, Trade Arabia reports, citing a report it has seen by the Switzerland-based leading warehouse operator Swisslog.
The region’s adoption of robotics in logistics is set to expand dramatically in the next five years, with Swisslog expecting the size of the region’s warehouse automation market to exceed USD 714 mn by 2030. A booming e-commerce market and rising labor costs were cited as the key drivers of the projected growth.
This will add to an automation wave already in motion globally, with some 97% of supply chain leaders saying they have implemented some form of automation in their operations, according to a survey (pdf) by Norwegian automated logistics outfit Autostore. Autonomous robots are projected to process up to 50% of e-commerce orders by the end of this year — becoming an established core pillar for distribution centers and fulfilment hubs.
#3- The Saudi Export-Import Bank (Saudi Exim) expects to close out the year having provided more than SAR 40 bn in financing, bringing the total financing it has provided since its 2020 launch to around SAR 100 bn, CEO Saad Al Khalab told Al Arabiya. About 40% of these facilities cover financing, while 60% pertain to ins. supporting exporters, financial institutions, and foreign importers.
By sector: 60% of the bank’s financing goes to manufacturing, over 20% to mining, and the remainder to services, technology, and agriculture. The bank has also extended revolving credit exceeding USD 1.5 bn to eight global exporters, facilitating trade with more than 150 countries.
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CIRCLE YOUR CALENDAR-
Saudi Arabia is hosting the Saudi Airport Exhibition on Tuesday, 16 December until Wednesday, 17 December in Riyadh. Upward of 10k global attendees are expected to participate in the event from over 100 countries. The two-day event will focus on airport-related innovation, and will feature participation from Saudia, SolitAir, and Amadeus.
Saudi Arabia is hosting SkyMove Air Cargo MENA on Tuesday, 27 January until Wednesday, 28 January in Riyadh. The event is expected to welcome more than 600 attendees from over 60 countries. The event will unite the whole air cargo value chain, analyze market trends, mitigate potential challenges, and leverage emerging windows.
The UAE is hosting the Middle East ProcureTech Summit on Tuesday, 27 January until Wednesday, 28 January in Dubai. The two-day event will spotlight the shifts in the procurement sector, paying special attention to digital and cloud procurement, and provide a networking platform for executives and industry innovators.
Check out our full calendar at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.




