Sats upbeat about facing disruptions from global trade war

Tariff hikes 'another macroeconomic challenge' to handle, akin to Covid-19: CEO

- Vanessa Paige Chelvan

MUNICH - Sats, the Singapore-listed air cargo handling services provider, is confident about facing any disruptions from the global trade war being waged by the US, Mr Kerry Mok, the company's president and chief executive, said on June 3.

Speaking to The Straits Times on the sidelines of the Air Cargo Europe trade show, Mr Mok said he views the tariff situation as "another macroeconomic challenge that we have to handle" that is similar to navigating the Covid-19 pandemic.

Air Cargo Europe is being held in Munich until June 5.

Sats is the world's largest air cargo handler, following its acquisition of Paris-based global air cargo logistics provider Worldwide Flight Services (WFS) in 2023 at a cost of €1.3 billion (S$1.8 billion).

Following the acquisition of WFS, the combined Sats and WFS network operates over 215 stations in 27 countries. These cover trade routes responsible for more than 50 per cent of global air cargo volume.

Mr Mok said his confidence stems from "the playbook that we have developed through Covid, (which) has served us well".

So far, air cargo volumes have not been affected by hefty tariff increases, possibly because of front-loading by businesses to get their goods off the ground during the 90-day reprieve, he said.