Q&A: FedEx MD on How Peak Season Logistics is Evolving

Europe’s trade relationship with APAC is entering a more targeted and export-led phase, shaped by resilient SME demand, e-commerce growth and increasingly complex customs and compliance pressures.

With peak shipping season well under way, supply chain leaders face sharper volume spikes, higher regulatory friction and the need for more agile, regionally focused logistics models.

Here, Alun Cornish, Managing Director Ramp and Gateways Operations at FedEx Europe, shares insights from FedEx data on shifting trade lanes, operational priorities and how logistics providers are adapting to support sustainable growth.

What headline shifts are you seeing when it comes to Europe-APAC trading lanes?

The Europe-APAC story is one of steady focus on exports, rather than dramatic surges. SMEs that have already expanded point to strong consumer demand and clear strategic opportunities as the key drivers – and this momentum is expected to continue through the next 12 months. 

This future growth is also highly targeted, with China, Japan and India as the primary opportunities. This shift continues despite pre-existing challenges – logistics costs and complex customs regulations remain barriers but they’re not slowing the overall positive trend.

What key trade barriers are EU and APAC SMEs currently facing? And how can they be overcome?

Global trade flows are evolving and our data shows European SMEs are looking to the Asia-Pacific region with strong optimism. We're seeing a promising, export-led shift to the region that businesses expect to continue, with a clear focus on key growth opportunities in China, Japan and India.

While our ambition remains strong, our survey highlights clear opportunities for improvement that can unlock smoother global trade. It shows that logistics costs and import taxes/tariffs are key barriers for SMEs trading with APAC, alongside the challenge of navigating complex customs regulations.

What’s especially encouraging is that SMEs also articulate practical, constructive solutions. They’re calling for cost-effective logistics solutions to better manage expenses, plus clearances expertise and regulatory guidance to navigate trade regulations with confidence. They identify cost efficiency and customs clearance as the most critical factors for enabling smoother trade and these insights are guiding how we at FedEx plan and allocate capacity to support them.

Given your data, what changes should supply chain leaders look to make in forecasting, inventory and compliance?

The data paints a clear picture of where supply chain leaders should focus. The immediate priority is successfully managing an aggressive holiday peak, as SMEs remain broadly optimistic about sales and are relying on e-commerce shopping festivals to hit their goals. This requires forecasting sharp, short-term spikes in volume rather than a simple, steady growth curve.

To meet this spike-driven global demand, the clear operational priority must be on inventory. We can see businesses are already trying to improve their local fulfilment operations and view real-time supply chain visibility as a critical factor for success. In other words, having stock isn't enough - inventory must be visible and positioned much closer to the end customer to be truly effective.

Yet the data also makes the biggest hurdle unmistakenly clear: compliance. Customs regulations and tariffs were consistently cited as top barriers to international trade, particularly with the APAC region. SMEs are seeking support with customs clearance and regulatory guidance. This signals that leaders who treat compliance as a strategic enabler, rather than just a back-office cost, will be the ones who successfully capture this year's growth.

How does FedEx adjust its operations to cope with peak season demand?

Peak season is always a critical period for us and preparation is key. Our plan centres on managing capacity and resources to align with forecasted demand; deploying larger aircraft on priority routes to move more efficiently, extending sort windows at our hubs to boost throughput and expanding our fleet footprint in high-density areas with additional drivers, trucks and vans. We also bring in temporary team members to support every part of the operation, so we can maintain the high level of service our customers expect during this busy time.

What long-term impacts will changing trade dynamic and demand patterns have on peak season logistics operations?

These changing demand patterns suggest significant long-term implications for peak season logistics. SMEs’ heavy reliance on e-commerce festivals indicates that operations may need to adapt to demand that is far more concentrated, arriving in sharp spikes rather than as a steady, predictable wave if this trend continues. Geography compounds this challenge; with a significant portion of holiday sales expected from outside Europe and a push into markets like APAC, traditional 'central hub' logistics models could face considerable pressure. This may drive a longer-term trend toward more decentralised, regional fulfilment networks that position goods closer to these new demand centres.

A second significant impact centres on customs and compliance. Our data shows that SMEs view customs regulations and tariffs as barriers to international trade and a large majority are already navigating the effects of recent regulatory changes. In a peak season defined by speed, these compliance frictions can translate into costly delays. This suggests a growing need for logistics operations to embed digital tools and specialised regulatory expertise deeper into the workflow, turning a common bottleneck into a smoother, more integrated part of the supply chain.