FedEx: 76 Percent of APAC SMEs Boost Exports to Europe

Cross-Border Trade Momentum Strengthens

Trade between the Asia Pacific (APAC) region and Europe is gathering pace, driven by small and medium-sized enterprises (SMEs) that are expanding internationally at record levels. According to a new survey released by Federal Express Corporation (FedEx), 76 percent of APAC SMEs reported increased export volumes to Europe over the past year, while 87 percent of European SMEs expect to maintain or grow their exports to APAC in 2026.

The study, conducted in September 2025, surveyed more than 2,000 SMEs — 1,200 across nine European markets and 850 across 13 APAC markets — to gauge business sentiment, opportunities, and challenges along the Europe-Asia corridor. The findings underline the strategic importance of this trade lane, which has now posted 30 consecutive months of growth as of August 2025, underscoring its resilience and central role in global commerce.

Europe’s Top Destinations for APAC Exporters

Among European markets, the United Kingdom (42%), Germany (40%), and France (38%) emerged as the most significant destinations for APAC exporters. These countries remain leading gateways for Asian goods, offering established logistics infrastructure, strong consumer demand, and business-friendly environments.

The rising confidence among Asia-based SMEs reflects Europe’s robust recovery in consumption and manufacturing, as well as improving trade connectivity and logistics reliability. According to the survey, 85 percent of APAC SMEs plan to either begin or expand trade with Europe within the next two years, citing price competitiveness, rising European demand, and market diversification as key growth drivers.

European SMEs Turn to APAC for Growth

Confidence runs both ways. A striking 87 percent of European SMEs expect to increase or maintain their exports to APAC in 2026, signalling balanced optimism on both sides of the corridor. European firms are particularly focused on China (55%), Japan (36%), India (26%), and South Korea (24%) as their top growth markets — reflecting favorable trade agreements, improved supply chain infrastructure, and expanding consumer markets across the region.

Among European countries, Turkey leads in the proportion of SMEs with customers in APAC, with 12 percent of its international client base located in Asia. Other active exporters include Belgium (8.5%), the Netherlands (7.6%), France (7%), and Italy (5.7%), with the UK, Germany, Poland, and Spain following closely behind.

Logistics Expansion and Faster Connectivity

To meet growing customer demand, FedEx has expanded its global network by adding five additional weekly flights connecting Asia and Europe. These new routes enhance capacity and reliability, while an upgraded connection between Vietnam and Europe now offers a one-day faster transit time.

With the latest expansion, FedEx now operates 26 weekly flights between Europe and APAC, enabling shipments to reach major destinations within as little as 48 hours. Inside the APAC region, FedEx supports businesses through a vast operational footprint that includes four regional hubs, service to 44 countries and territories, and a workforce of over 28,000 team members.

Beyond APAC, European SMEs continue to engage actively with other intercontinental partners. The United States (48%) and the Middle East (34%) rank as the top two non-APAC trade regions, with the UK leading trade with the U.S. and Turkey emerging as a key link for the Middle East and Asia Pacific.

Challenges: Regulation, Customs, and Market Volatility

Despite strong optimism, significant hurdles persist for SMEs pursuing international growth. The survey found that 86 percent of APAC and 78 percent of European SMEs view regulatory changes, customs complexity, and global volatility as major barriers to cross-border trade.

Businesses continue to face evolving compliance requirements, documentation discrepancies, and fragmented customs processes across markets. These challenges can create delays, raise costs, and discourage smaller companies from pursuing overseas expansion without expert support.

“The Europe–APAC trade lane represents enormous opportunities for SMEs on both sides,” said Wouter Roels, European President of FedEx. “However, our research confirms that navigating trade complexity and ensuring supply chain visibility are crucial to unlocking this potential. With our global network and extensive data resources, FedEx is uniquely positioned to help customers turn opportunity into growth.”

Digital Innovation: The Next Frontier in Trade

As SMEs look to overcome operational challenges, digital transformation has become essential to sustaining cross-border growth. The FedEx study found that 30 percent of APAC and 41 percent of European SMEs want new digital tools to enhance supply chain visibility, streamline shipments, and reduce delivery times. Meanwhile, 27 percent of APAC and 41 percent of European respondents emphasised the need for greater customs expertise to manage regulatory changes effectively.

In response, FedEx is expanding its suite of smart digital solutions designed to simplify international logistics. Through its clearance and compliance teams, FedEx provides regulatory guidance and educational webinars to help businesses minimise customs delays and unexpected costs.

The company’s Electronic Trade Documents (ETD) tool allows customers to upload shipping documentation digitally, expediting customs clearance and ensuring timely delivery. These innovations reflect a broader industry shift toward digital integration — improving transparency and efficiency across the global supply chain.

Empowering SMEs Through Knowledge and Support

Beyond logistics infrastructure, FedEx continues to invest in educational and advisory platforms to empower small businesses. The FedEx SMB Hub offers SMEs multimedia resources, market insights, and regulatory guidance tailored to international trade. By providing access to trade data and best practices, the platform helps businesses make informed decisions and navigate complex export environments with confidence.

This combination of network expansion, digital innovation, and trade expertise positions FedEx as a key enabler of SME globalization. As Roels concludes, “SMEs are the lifeblood of international trade. By combining our physical capabilities with digital intelligence, we’re helping businesses in Europe and Asia Pacific connect faster, trade smarter, and grow stronger.”

Outlook: A Strengthened Europe–APAC Trade Corridor

With trade volumes climbing and both regions expressing sustained optimism, the Europe–APAC corridor is set to remain one of the world’s most dynamic trade routes. Enhanced logistics capacity, favourable policy environments, and digital transformation are aligning to create unprecedented opportunities for small and medium-sized enterprises.

As SMEs continue to drive cross-border commerce, collaboration between governments, logistics providers, and technology partners will be essential to maintaining momentum. The message from the FedEx survey is clear: the future of trade between Europe and Asia Pacific is bright, digital, and deeply interconnected.