News #126 - Shifting global trade landscape

22.08.2025

The prolonged trade tensions between the United States and China continue to cast a significant shadow over regional air cargo volumes. Given Hong Kong’s critical role in trans-Pacific e-commerce flows, logistics providers have been among the first to feel the pressure from heightened tariffs and evolving regulatory frameworks.

“GLSHK anticipates that the additional tariffs imposed on China and Hong Kong will directly impact air cargo volumes, particularly e-commerce shipments on well-established U.S.-bound routes,” said Ellis Chan, Business Development Manager at GLSHK. “The IMF’s projection of a 0.5 to 1.0 percent slowdown in global GDP growth for 2025 further highlights the medium-term risks to demand.”

To mitigate these disruptions, GLSHK has adopted a dual-track strategy. This includes deepening collaboration with freight forwarders and airlines to optimize revenue streams while also expanding into less trade-sensitive regions. “A core part of this strategy involves leveraging airlines’ growing need for digital cargo documentation on expanding flight routes to emerging markets such as the Middle East and South Asia,” Chan explained.

Logistics Growth Opportunities

Even as the trans-Pacific landscape undergoes structural transformation, new opportunities are rapidly emerging in other regions. The Asia-Europe trade corridor continues to expand, while Southeast Asia is increasingly recognized as a major logistics and production hub.

“To align with the expansion of the Asia-Europe trade lane and the rising prominence of Southeast Asia as a logistics hub, GLSHK is actively adapting its service portfolio,” said Keith Lam, Business Solution and Infrastructure Manager at GLSHK. “We are closely tracking the development of new flight routes across Asia, Europe, and Southeast Asia, and positioning our solutions to support this growth.”

This strategy is not limited to geographic realignment; it is grounded in digital innovation. “Our commitment to innovation is evident in the deployment of advanced digital solutions designed to address evolving needs in digital cargo processing, Customs compliance—including ACI and PLACI—and air postal operations,” Lam added. These services are instrumental in enabling freight forwarders and airlines to thrive in fast-changing markets.

Enhancing the EzySuite Platform

GLSHK’s flagship digital platform, EzySuite, has become a cornerstone of the company’s service innovation. As international regulations tighten and e-commerce volumes surge, the platform has been enhanced to deliver greater scalability, automation, and compliance capabilities.

“To meet the evolving demands of the cargo community, GLSHK is continuously advancing EzySuite with a strong focus on regulatory compliance, operational scalability, and automated workflows,” Lam explained. “The growing adoption of pre-loading compliance requirements—such as PLACI—has made accurate and timely data submission prior to flight departure a critical necessity.”

To address these demands, GLSHK embedded intelligent automation into EzySuite, including dynamic validation rules customized for different jurisdictions. “We proactively expanded the platform’s capacity two years ago to efficiently process the increasing volume of e-commerce data transfers, whether between freight forwarders and airlines or airlines and Customs authorities,” Lam noted.

Leveraging Emerging Technologies

Technology is increasingly at the core of GLSHK’s operational strategy. The company has been an early adopter of artificial intelligence (AI), blockchain, and IoT to enhance efficiency, visibility, and predictive capabilities in cargo handling.

“GLSHK is at the forefront of digital adoption in the air cargo sector,” Lam emphasized. A notable advancement is the integration of IATA’s ONE Record API standard, which enables seamless, standardized data exchange across stakeholders.

“By adopting the ONE Record API, GLSHK has successfully implemented IoT solutions that capture and share real-time shipment events,” Lam said. The company is also advancing machine learning applications in cargo movement prediction. “These models enhance planning accuracy and operational responsiveness. Looking ahead, AI will be further integrated to support data preparation and validation, streamlining workflows and strengthening supply chain integrity,” he added.

Connectivity and Compliance

Alongside digital expansion, data security and compliance remain top priorities. “To ensure robust data security and alignment with international standards, GLSHK adopted the NIST Cybersecurity Framework five years ago and has since conducted annual cybersecurity assessments,” Lam explained.

On the connectivity side, GLSHK’s EzyCargo platform facilitates real-time, standardized communication between forwarders, airlines, and terminals, powered by the IATA ONE Record framework. Planned upgrades include advanced services such as piece-level tracking.

Additionally, GLSHK’s EDMP platform provides a comprehensive performance monitoring layer. “EDMP is a certified solution built on IATA Cargo iQ standards, enabling milestone-based performance benchmarking across the logistics chain,” Lam said. “The insights generated allow stakeholders to proactively address service deviations, ultimately enhancing reliability across operations.”

 

 

 

 

 

 

 

 

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