Etihad Cargo yesterday posted record volumes for last month as Middle East carriers led global growth in air freight.
Volumes approached 33,000 tonnes, an increase of 18 per cent on the same month last year, the cargo division of Etihad Airways said.
The numbers follow strong first-half figures at Abu Dhabi Airports Company (Adac), which reported a total of 268,157 tonnes were shipped through the airport in the first six months of the year, a 15.7 per cent increase on the same period last year.
"We've seen a good recovery in business from Europe after the second quarter," said Kevin Knight, the chief planning and strategy officer at Etihad.
"Business across and through the Middle East has remained strong into the Holy Month of Ramadan."
Global air freight has been driven down in recent years by rising fuel prices and the sovereign debt woes plaguing Europe but volumes have stabilised in the past few months.
A slowdown in China and India is now the biggest obstacle to growth in the industry.
But total revenues for Etihad Cargo were up 4 per cent last month compared with June and up 8 per cent on the same month last year.
DHL Express - a global courier firm - last week also said demand had been high in the UAE for its services and it had yet to suffer a slowdown in Europe.
For Etihad, the growth in freight volumes is matched by the overall growth in flights and passenger numbers through Abu Dhabi International Airport.
The airport welcomed 7 million passengers during the first half of the year, up 22.8 per cent compared with the same period last year. In addition, aircraft movements increased 3.6 per cent to a total 58,937.
Adac said increased Etihad, Air Berlin and Lufthansa cargo volumes in particular had driven the growth in cargo, which grew by 29 per cent in June compared with a year earlier.
Mr Knight said new routes, including a new passenger service to Lagos and a new freighter service to Dammam, had helped improve Etihad's overall offering.
"Also, the capability of our fleet with the addition of the 747-400 freighter has enhanced our overall schedule flexibility and helped support significant project work in what was also a record month for our charter team," he added.
Globally, freight volumes increased 0.8 per cent in June compared with a year earlier, the International Air Transport Association said last week.
It added the weak global picture masked strong growth for Middle East airlines of 17.9 per cent, against a 14.2 per cent increase in capacity.
Other Middle East airlines have also reported high cargo volumes this year.
Saudi Airlines Cargo said last week it carried 251,000 tonnes of cargo in the first half of the year, a 26 per cent increase compared with the same period last year.
Freight volumes at the Dubai World Central-Al Maktoum International Airport jumped 153 per cent to 56,271 tonnes in the second quarter of the year compared with the corresponding period last year.
rjones@thenational.ae
Tips for taking the metro
- set out well ahead of time
- make sure you have at least Dh15 on you Nol card, as there could be big queues for top-up machines
- enter the right cabin. The train may be too busy to move between carriages once you're on
- don't carry too much luggage and tuck it under a seat to make room for fellow passengers
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
