FedEx has released the results of a recent survey on trade trends between the Asia-Pacific region and Europe, focusing on small and medium-sized enterprises (SMEs). The study, conducted in September 2025, surveyed 850 SMEs from 13 Asia-Pacific markets and over 1,200 SMEs from nine European markets. Its aim was to understand the motivations, readiness, and challenges faced by companies looking to expand into European or Asia-Pacific markets.
According to the findings, 76% of Asia-Pacific SMEs reported an increase in exports to Europe over the past year. For Japanese SMEs entering Europe, the most common initial destinations are the United Kingdom (28%), Germany (20%), and Italy (14%). Currently, their main export destinations are Germany (64%), France (56%), Italy (56%), and the UK (54%).
On the European side, similar patterns were observed. Eighty-seven percent of European SMEs said they plan to increase or maintain their export focus on Asia-Pacific markets. China (55%), Japan (36%), and South Korea (24%) were identified as promising markets for expansion in the next two years. Additionally, 40% of Japanese SMEs indicated a more positive outlook toward trade with the EU.
The report also noted that “the Asia-Europe trade route achieved 30 consecutive months of growth as of August 2025,” according to data from IATA in September 2025.
Growth in trade between these regions is driven by several factors. Strong consumer demand was cited as a primary reason for expanding into Europe by 68% of Asia-Pacific respondents and 63% of Japanese respondents. Over the next one to two years, key target markets for Asia-Pacific companies include the UK (42%), Germany (40%), and France (38%). For Japanese firms specifically, Germany and France are each targeted by 30%, followed by the UK at 26%, Italy at 18%, and the Netherlands at 18%. The survey found that within twelve to twenty-four months, 85% of Asia-Pacific businesses and 44% of Japanese businesses plan to start or expand business with Europe.
However, both regions’ SMEs recognize ongoing challenges such as regulatory changes, complex customs procedures, and global market instability. These issues affect business operations for an estimated 86% of Asia-Pacific companies, 70% of Japanese firms, and 78% of European companies.
To address these obstacles, many businesses seek enhanced digital tools for supply chain visibility and shipping efficiency—30% in Asia Pacific overall; specifically among Japanese firms this figure is at 22%. In addition, there is demand for advanced customs expertise: about a quarter or more across all groups surveyed say it would help them adapt to changing regulations or manage costs effectively.
Salil Chari, Senior Vice President Marketing & Customer Experience for FedEx Express AMEA region stated: “It is very encouraging that small- and medium-sized enterprises across both regions show strong confidence in expanding trade between Asia Pacific and Europe amidst significant shifts in global commerce. FedEx combines its global transportation network capacity with digital innovation capabilities as well as deep knowledge about international trade so our customers can operate smarter—and with greater certainty.”
Kei Kubota—Managing Director representing FedEx in Japan—added: “Europe is an important market for our customers here in Japan. Our team continues working closely with colleagues across Europe not only improving operational efficiency but also enhancing service quality so we can strongly support customer growth.”
To meet rising cargo demand along this corridor FedEx has added five new weekly flights from Asia bound for Europe while also strengthening connections between Vietnam & Europe—reducing transit times by one day. Currently FedEx operates twenty-six weekly flights carrying goods from APAC countries into major European cities; express delivery services can reach some destinations within forty-eight hours depending on origin/destination postal codes.
FedEx’s integrated air-and-ground network covers forty-five countries/territories throughout Europe via over five hundred fifty collection points centered around hubs like Paris Charles de Gaulle & Liège Belgium—with capacity sorting upwards two million packages daily.
The company offers digital solutions designed to simplify cross-border transactions including electronic submission e-commerce documents streamlining customs clearance processes; its import tool allows real-time tracking status updates document downloads related shipments while Go-To Europe Hub provides multimedia resources guidelines insights specific national markets helping APAC businesses compete confidently abroad.
The full report can be downloaded from fedex.com/trade.
