China's air cargo industry faces challenges from e-commerce growth and decarbonisation, impacting global logistics and sustainability efforts.
China's leading role in global air cargo is being reshaped by e-commerce growth and decarbonisation pressures, reports Beijing's Global Times.
Four of the world's top 20 airports by tonnage are in China, with Hong Kong and Shanghai leading the way. Asian hubs drove a 14 percent weekly increase in cargo volumes in October 2025, highlighting the strength of cross-border e-commerce. However, incomplete data and tariff volatility on China-US routes have created uncertainty.
While Europe's demand has weakened, Middle Eastern hubs are strengthening links between China and Europe. Etihad Cargo signed a cooperation deal with Ezhou Huahu Airport in Hubei to expand cold chain and high-value logistics. Additionally, Chengdu Airport has launched direct cargo flights to the Middle East, and Qatar Airways Cargo has partnered with Cainiao to improve distribution to Africa and Europe.
Global growth in 2026 is forecasted at 3.1 percent, but the air cargo sector faces several constraints. The EU has imposed a EUR2 charge (US$2.32) on packages below EUR150 to curb fast fashion imports, while the US has removed exemptions for packages under US$800. Rising jet fuel costs add further pressure, with Europe relying on imports from the Middle East, India, and Central Asia.
Italy's Eni is promoting sustainable aviation fuel (SAF) derived from used cooking oil. Gianni di Giovanni, chairman of Eni China, stated that SAF could deliver 65 percent of aviation's emissions reduction by 2050, with China well-positioned due to its feedstock supply. He likened China's role in biofuels to Saudi Arabia's in oil last century.
Despite these advancements, challenges remain as SAF costs are two to five times higher than conventional fuel, with limited mandates and demand signals. The EU's Refuel Aviation scheme and US incentives are supporting investment, but without a stable framework, utilisation rates remain low. Analysts emphasize that reconciling decarbonisation with consumption is essential for the sector's future.
