Air cargo played a critical role in sustaining global trade and powering the rapid expansion of artificial intelligence supply chains in 2025, while China's aviation sector is positioning itself to capture a larger share of the market through investment in cargo hubs.

Data from the International Air Transport Association, or IATA, showed that global air cargo demand rose 3.4 percent in 2025 from a year earlier to a record high, with international cargo demand growing 4.2 percent.

The industry group highlighted air freight's central role in transporting high-value technology goods tied to the global AI boom. More than two-thirds of the value of AI-related trade — including servers, data storage equipment and memory chips — was transported by air in 2025. Shipments of such goods rose 20 percent year-on-year and accounted for 53.5 percent of the value of all goods carried by air, despite representing just 7 percent of total cargo volume.

"Air cargo is a structural component of global economic resilience," said Julia Seiermann, head of industry analysis at IATA, highlighting the sector's role in enabling the rapid delivery of high-value equipment for AI infrastructure.

Against this backdrop, China is accelerating efforts to build a modern aviation logistics network as part of a broader push for high-quality development in civil aviation.

According to the Civil Aviation Administration of China, the country's air cargo volume rose 13.3 percent year-on-year in 2025 to 10.17 million metric tons.

Industry analysts say the growth is being driven by cross-border e-commerce and exports of high-value manufactured goods, including technology components and renewable energy products, which rely heavily on fast and reliable air logistics.

A key pillar of China's strategy is the build-out of dedicated cargo hubs and integrated logistics infrastructure.

At the center is Ezhou Huahu International Airport in Hubei province — the country's first cargo-focused airport and a major logistics hub operated by SF Express.

On March 8, SF Airlines launched its first direct United Kingdom cargo route linking Ezhou with East Midlands Airport in Derby, expanding its European network. The carrier said the new route would strengthen logistics links between Central China and Europe and support trade and industrial cooperation. The service follows earlier charter operations that had already reduced end-to-end China-UK delivery times to four days.

Analysts at Changjiang Securities said Chinese airlines could further expand their global cargo market share due to structural advantages in international routing.

Since the outbreak of the Russia-Ukraine conflict in 2022, many European and US carriers have avoided Russian airspace and instead routed flights through the Middle East. Chinese airlines, which continue to use these routes, benefit from shorter flight times between Asia and Europe, giving them cost and efficiency advantages.

"With rising geopolitical tensions in the Middle East further tightening global airspace capacity, Chinese logistics operators are well positioned to expand their market share," the brokerage said.

Air cargo demand is also relatively resilient, as it is concentrated in high-value goods such as advanced manufacturing equipment and consumer electronics, where delivery speed is critical and price sensitivity is lower. Fuel typically accounts for around 15 percent of costs, but surcharge mechanisms allow airlines to pass on price fluctuations, helping stabilize margins, the brokerage added.

Looking ahead, the IATA said it expects global cargo demand growth to moderate to around 2.4 percent in 2026, with supply and demand remaining broadly balanced. Demand could be supported by continued growth in AI-related shipments and global events such as the 2026 FIFA World Cup.

IATA Director-General Willie Walsh said geopolitical and trade dynamics will continue to shape logistics flows, but emphasized that air freight will remain indispensable as economies become increasingly reliant on high-value, time-sensitive goods.