Australian firms see steady growth in European trade but face logistical barriers

Raj Subramaniam President, Chief Executive Officer, and Director  FedEx Corporation - FedEx
Raj Subramaniam President, Chief Executive Officer, and Director FedEx Corporation - FedEx
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A recent survey conducted by FedEx has found that Australian businesses are showing steady confidence in expanding trade with Europe. The APAC-Europe Study, carried out by Milieu Insight in September 2025, polled 850 companies across 13 Asia Pacific markets—including Australia—about their experiences and outlook on cross-border trade with Europe.

According to the study, 71% of surveyed Australian businesses reported an increase in trade volume to Europe over the past year. Nearly a third (30%) experienced growth exceeding 10%. Furthermore, 61% stated that their perception of trading with Europe has improved within the same period.

Europe is becoming increasingly important for Australian companies seeking to diversify beyond the Asia-Pacific region. Of those surveyed, 32% said more than a quarter of their customers are based in Europe, while only 8% indicated that over half of their customer base is European. However, 22% still maintain a minimal presence in the market, suggesting potential for further expansion.

The United Kingdom (50%), Germany (28%), and France (27%) were identified as top destinations for trade opportunities among respondents. These preferences indicate a focus on established markets rather than emerging ones.

Despite these positive trends, challenges remain. High logistics costs were cited by 45% of participants as a significant barrier to European trade. Import taxes and tariffs affected 36%, while supply chain issues such as shipment delays concerned 33%.

To address these obstacles, many Australian businesses are seeking cost-effective logistics solutions (38%), improved market intelligence (32%), and customs clearance expertise (30%). Their main priorities include achieving cost efficiency (53%), streamlining customs processes (35%), and increasing supply chain visibility (26%).

Peter Langley, vice president of operations at FedEx Australasia, commented: “Europe represents a key opportunity for Australian businesses looking to diversify. At FedEx, we are committed to simplifying the end-to-end shipping process by providing our global network, digital tools, and our local expertise, helping Australian businesses navigate their way into European markets.”

FedEx recently increased its flight capacity between Asia and Europe by adding five weekly flights this month. The company now operates a total of 26 weekly flights connecting shipments from APAC to Europe. Express shipments can reach major European destinations in as little as two days.

To support cross-border commerce further, FedEx offers digital solutions like Electronic Trade Documents for streamlined customs declarations and an Import Tool that tracks clearance status and provides access to necessary documents. The company also provides ongoing resources through its Go To Europe Hub with guidelines and local insights tailored for exporters.

Federal Express Corporation delivers services to more than 220 countries and territories worldwide using an integrated air-and-ground network designed for time-sensitive shipments.



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