As global trade rebounds and technology continues to reshape industries, the international shipping and logistics sector is poised for a dynamic year in 2025, says the director general of the British International Freight Association (BIFA).
“With new trade agreements, advances in automation, and an increasing focus on sustainability, BIFA members of all shapes and sizes anticipate growth opportunities alongside significant challenges,” says Steve Parker.
Despite potential future trade wars, the International Monetary Fund expects global trade volumes to increase by 3.2% in 2025, driven by reduced geopolitical tensions, expanding e-commerce, and growing consumer demand in emerging markets. These developments provide fertile ground for freight forwarders and logistics service providers to enhance their services and seize new opportunities in cross-border shipping.
The logistics industry is increasingly taking advantage of cutting-edge technologies to improve supply chain operations. Devices enabled by artificial intelligence (AI), blockchain technology, and the Internet of Things (IoT) are transforming shipment tracking, customs clearance, and warehouse management. Automation is expected to significantly reduce costs while improving transparency and customer satisfaction.
“2025 is the year when digitization and data-driven decision-making will become a necessity, not a feature,” Parker adds. The integration of real-time analytics and autonomous systems is revolutionizing how BIFA members manage global supply chains.
With global regulators and consumers demanding environmentally conscious practices, sustainability will be a top priority in 2025. Many companies are committing to carbon-neutral charging solutions, investing in green technologies such as electric vehicles and alternative fuels. Ports and shipping centers around the world are also adopting clean energy practices to reduce emissions and align with international environmental goals.
“Shippers are now looking beyond cost and speed – they want greener logistics solutions,” says Parkers. “This shift creates both challenges and opportunities for logistics providers.”
The global e-commerce market is expected to exceed US$7.4 trillion by 2025, increasing the need for efficient logistics and last-mile delivery solutions. Freight forwarders are quickly adapting to the demands of faster shipping and expanded network coverage, especially in underserved areas.
While the prospects are promising, the industry must also address critical challenges. The ever-changing dynamics of demand and supply in all modes of transportation. Geopolitical uncertainties. Volatile fuel costs and regulatory complexities continue to pose risks. Additionally, labor shortages in key markets highlight the need for investments in workforce development and automation.
As we enter the second week of 2025, the international shipping and logistics sector is at a pivotal moment. By embracing innovation, prioritizing sustainability, and navigating the dynamics of global trade, the industry is well-positioned for sustainable growth and resilience in the face of ongoing challenges.
“The trade association representing UK shipping and logistics companies managing international supply chains will be ready to support our members in these multiple endeavours,” Parker concludes.
