New trade lane shifts driven by new market opportunities and global trade challenges
Federal Express Corporation, one of the world’s largest express transportation companies, today released insights from a new survey examining trade lane trends between Asia Pacific (APAC) and Europe, which highlights key enablers and barriers to cross-border trade for businesses in the Philippines and across the region.
Conducted in September 2025, the survey polled 850 small- and medium-sized businesses (SMEs) across 13 APAC markets and over 1,200 SMEs across nine European markets, exploring business sentiment, readiness, and challenges for cross‑border expansion among APAC firms expanding into Europe and European firms exploring opportunities in APAC.
The survey findings reveal a notable surge in European trade among APAC small and medium businesses, with 76% of respondents reporting increased export volumes over the past year. The United Kingdom (42%), Germany (40%), and France (38%) emerged as the top three markets driving business growth.
Confidence is equally strong among European SMEs, with 87% of businesses shifting their balance of trade toward APAC or maintaining current levels. China (55%), Japan (36%) and South Korea (24%) were seen as among the top growth markets over the next two years. This reciprocal optimism among SMEs reflects broader market dynamics, with the Asia–Europe trade lane recording 30 consecutive months of growth as of August 2025, demonstrating remarkable growth momentum along this vital trade corridor for businesses of all sizes.
Trade Lane Shifts Reflect Emerging Opportunities for SMEs
The growth in Asia-Europe trade is being driven by several key factors. In APAC, strong consumer demand in Europe, improved price competitiveness for Asian products and services, and strategic expansion opportunities are major contributors, with 68% of respondents attributing growth to these factors. A significant 85% of APAC businesses plan to begin or expand trade with Europe in the next 12–24 months.
Meanwhile, European businesses are drawn to APAC due to strategic prospects, comprehensive logistics solutions, and favorable trade agreements.
While there is strong enthusiasm by APAC and Europe SMEs to expand cross‑border trade, they are also aware of the challenges ahead. Regulatory shifts, complex customs procedures and global market volatility are major concerns impacting 86% of APAC SMEs and 78% of European SMEs’ ability to conduct business.
To overcome these challenges, SMEs are looking for solutions. 30% of APAC and 41% of European businesses want digital tools to improve supply chain visibility, streamline shipping, and reduce delivery times. Additionally, 27% of APAC and 41% of European SMEs seek greater customs expertise to navigate shifting regulations, avoid delays, and manage costs effectively.
Meeting Asia-Europe Demand with Capacity, Reliability and Intelligence
“The strong confidence among Philippine SMEs in expanding trade with Europe is a clear signal of the country’s growing role in global commerce. As international trade dynamics evolve, local businesses are seizing new opportunities beyond borders,” said Maribeth Espinosa, managing director, FedEx Philippines. “At FedEx, we are committed to fueling this momentum by delivering reliable logistics, intuitive digital tools, and adaptive trade expertise that help businesses navigate shifting regulations and thrive in the dynamic Asia-Europe corridor.”
To better support surging trade growth, FedEx added five weekly flights connecting Asia to Europe this month. Additionally, FedEx enhanced connectivity between Vietnam to Europe reducing shipment time by one day. FedEx now operates 26 weekly flights connecting APAC shipments to Europe, delivering express shipments to major European destinations in as little as 48 hours[1].
The company’s integrated air-and-road network is one of the fastest in Europe, enabling quick deliveries across the region. Anchored by key logistics hubs in Paris, France and Liege, Belgium, the network supports over 550 pick-up and delivery stations across 45 countries and territories and facilitates the sorting of more than two million packages every day.
FedEx also offers a broad portfolio of smart digital solutions and specialized trade expertise to simplify cross-border commerce. Customers can streamline customs declarations by uploading Electronic Trade Documents digitally to help ensure timely delivery while the FedEx Import Tool allows users to track clearance status, receive real-time notifications, and download required documents on demand. The FedEx Go-To Europe Hub is an always-on resource with multimedia resources, trade guidelines, and local market insights, equipping APAC businesses shipping to Europe with the knowledge and tools they need to confidently expand and compete across borders.
To learn more about how FedEx enables and expands global trade, visit fedex.com/trade.
