According to the Agility Emerging Markets Logistics Index 2025, the UAE continues to reduce the gap with countries ranked higher, demonstrating the advantages of its investment strategies. More than 62% of logistics industry specialists surveyed reported reorganizing their supply chains to protect against inflation, future tariffs on trade, potential global economic downturns, and other major risks. The logistics industry in 2025 will focus on protection from rising costs and the potential trade war initiated by anticipated tariff increases from the U.S. and reduced exports from China.
"There is a growing uncertainty and ambiguity among freight forwarders, carriers, expediteurs, and other participants related to geopolitical factors that lead to increased expenses, affect trade volumes, and alter supply chains," said Tarek Sultan, deputy chairman of Agility. The UAE occupies leading positions in key logistics categories, offering the best conditions for business and surpassing practically all other developing economies in logistics capabilities and digital readiness.
The index, which analyzes 50 countries, notes that the UAE has improved its overall competitiveness based on domestic and international logistics advantages, business environment, and digital readiness – factors important for logistics providers, freight forwarders, aviation, and maritime carriers, distributors, and investors. "Companies engaging in international business continue to relocate production, rethink investment plans and seek sustainable paths to growth."
In 2025, a brief overview of the Index will also present an analysis of the UAE and its neighbors in the Arabian Gulf. Internally, countries leading in logistics include China, India, Indonesia, Saudi Arabia, and the UAE.
**Survey:**
- Market decline - almost 55% of respondents consider a global economic downturn likely or certain. - Protectionism - nearly 82% state that tariffs and other trade protection methods have a significant impact on their supply chains. - Emerging markets – 72% assert that risks in emerging markets have increased over the last year. - China – 54% intend to relocate production or purchases from China in the next five years due to the trade tensions between the U.S. and China, rising labor costs, and increased domestic regulations.
**Country rankings:** - **In the Middle East and North Africa Region:** - UAE (3); - Saudi Arabia (4); - Qatar (8); - Turkey (11); - Oman (14); - **Globally:** - China (1); - India (2); - Malaysia (5); - Indonesia (6); - Thailand (9).
The developing security level in the region contributes only to their development as a bridge between developing superpowers and the West. Diversification and a focus on investments in transportation, a transition to green energy, and other major infrastructure projects have laid the groundwork for future growth.
