With a focus on strategic innovation and operational transformation, Saudia Cargo is positioning itself as a regional leader while exploring new opportunities across Central Asia, Africa, and beyond.
Hashim Alsharif, Vice President of Strategy & Transformation at Saudia Cargo, shared: “The air cargo industry is at an inflexion point. Saudia Cargo is leveraging its geographic advantage, modernising its fleet, and adopting new technologies to meet the growing demands of e-commerce and global trade,” Alsharif stated.
Catalyst for growth
The e-commerce revolution has significantly altered the logistics industry, with consumers demanding faster and more reliable delivery solutions. Saudi Arabia is witnessing a surge in online retail.
Saudia has been proactive in capturing this opportunity by expanding its network and introducing tailored solutions. The company has partnered with e-commerce platforms and logistics providers to streamline operations.
“e-commerce has redefined how we think about air cargo,” Alsharif explained. “Our strategy is to not only meet this demand but to anticipate it, ensuring that we remain ahead of the curve in a highly competitive market.”
Expansion and new entrants
Saudia’s growth strategy includes significant investments in fleet modernisation and expansion. The company is set to introduce additional freighter aircraft, including next-generation models that offer improved fuel efficiency and cargo capacity.
At the same time, Saudi Arabia’s broader aviation sector is undergoing a transformation, with new carriers entering the market and established players ramping up their capabilities. This increased competition is expected to spur innovation and drive down costs.
Alsharif welcomed the competition, noting, “A vibrant market fosters innovation. At Saudia, we see this as an opportunity to differentiate ourselves through exceptional service and strategic partnerships.”
Regional developments and potential
Beyond its home market, Saudia is strategically positioning itself to tap into transcontinental trade routes, including the burgeoning potential of Central Asia. The region’s role as a logistics hub for goods moving between China, Africa, and Europe aligns perfectly with Saudia Cargo’s expansion.
Central Asia’s connectivity through the Silk Road in the Sky offers a compelling opportunity for Saudia to integrate its network with multimodal transport corridors. By establishing partnerships and leveraging its strategic location, Saudia aims to play a central role in facilitating transhipments from China to Africa and the Middle East via Central Asia.
“Central Asia is a key transit point for global trade,” Alsharif observed. “Our aim is to create seamless connections that not only enhance our network but also provide value to our customers by reducing transit times and costs.”
Technological integration
Central to Saudia’s strategy is the adoption of cutting-edge technologies to enhance operational efficiency and customer satisfaction. The company has invested in advanced cargo management systems, digital tracking tools, and predictive analytics to streamline its processes and improve transparency across its supply chain.
“Digital transformation is not optional; it’s a necessity,” Alsharif emphasised. “By integrating technology into every facet of our operations, from booking to delivery, we’re ensuring that Saudia remains agile and responsive to the needs of a fast-paced market.”
These technological advancements have also enabled the company to optimise its routes and fleet utilisation, reducing fuel consumption and operational costs. Such efficiencies are particularly critical in a competitive market where margins are often thin.
Competitive landscape
The Middle East air cargo sector is seeing a surge in activity, with established players like Emirates SkyCargo and Qatar Airways Cargo maintaining strong market positions, while newer entrants add further dynamism. Saudi Arabia’s Vision 2030 initiative, which aims to diversify the country’s economy, has also spurred investment in infrastructure and air cargo capabilities.
For Saudia, this competitive environment represents both a challenge and an opportunity. The company is focusing on building strategic alliances and diversifying its offerings to stand out in a crowded market.
“Competition is the engine of progress,” Alsharif remarked. “We are committed to staying ahead by offering tailored solutions that meet the unique requirements of our customers across various industries, from pharmaceuticals to e-commerce.”
Cargo crossroads
Saudi Arabia’s geographic location places it at the crossroads of three continents, offering a natural advantage for air cargo operations. The country’s position enables direct links between Asia, Africa, and Europe, while also providing access to trans-Pacific trade routes. Saudia is leveraging this connectivity to enhance its role in global supply chains, particularly as volumes between China and the Middle East continue to grow.
“Saudi Arabia is uniquely positioned to act as a bridge between East and West,” Alsharif noted. “We are focused on building infrastructure and partnerships that maximise this advantage while ensuring that our operations align with the highest standards of efficiency and sustainability.”
Connecting China
China’s dominance in global trade is a cornerstone of Saudia’s strategy. As a major exporter and the world’s largest e-commerce market, China drives a significant portion of global air cargo volumes. Saudia is tapping into this demand by strengthening its links with Chinese cities such as Guangzhou, Shanghai, and Shenzhen.
In addition to serving traditional markets in Europe and North America, the company is prioritising connections to Africa, a region with a rapidly growing demand for consumer goods and industrial materials. “Africa represents a dynamic market with immense potential for growth,” Alsharif explained. “By linking China with Africa via Saudi Arabia, we are facilitating trade flows that benefit both regions.”
The strategy also includes enhancing connectivity within the Middle East, a region that serves as a critical transit point for goods moving between Asia, Europe, and the Americas.