CHINA will overtake the US and, with other emerging economies, dominate global trade by 2030, according to a PriceWaterhouseCooper (PwC) analyst report.

The report suggests that there will be four major developments that will affect the air cargo industry and world trade, reports London's AirCargo News. These include increasing trade within the Asia-Pacific region, trade between emerging and developed economies, such as between China and Germany, between emerging economies themselves, such as parts of Asia and Latin America and between China and Africa.

"Transport and logistics companies will need to adapt to the change in trade patterns to ensure they maximise their profit opportunities," said PwC's head of macro consulting Yael Selfin.

Said PwC transport and logistic analyst Klaus-Dieter Ruske: "Long-term planning and careful execution are essential when entering new markets. Companies should not only think about securing deals and developing operations, but also about testing opportunities and safeguarding their assets, whether physical, human or intellectual."

After a record-breaking 14.5 per cent world trade export growth in 2010, World Trade Organisation (WTO) economists now believe a more modest 6.5 per cent increase can be expected in 2011.

"The figures show how trade has helped the world escape recession in 2010," WTO director general Pascal Lamy said. "However, the hangover from the financial crisis is still with us.

"High unemployment in developed economies and sharp belt-tightening in Europe will keep fuelling protectionist pressures. 'Stability' should be the name of the game for 2011," Mr Lamy said.