Dimerco reports 12% revenue growth despite Middle East risks

Dimerco Express Group (5609) posted strong April 2026 numbers, with consolidated sales revenue climbing to NT$2,840 million, up 12% from a year ago. The standout driver was air freight, where volumes surged nearly 20% year-over-year, more than compensating for a modest softening in ocean freight volumes during the month.

Looking at the first four months of 2026, the picture remains encouraging. Air freight volumes are up roughly 20% and ocean freight close to 10%, pushing total consolidated revenue to NT$9,891 million, a 3.8% gain over the same period in 2025. For a market buffeted by volatile freight rates and an unpredictable global environment, that kind of steady momentum speaks to genuine operational resilience.

Not that the backdrop has been easy. Escalating tensions across the Middle East are weighing heavily on key shipping lanes. Security concerns in the Persian Gulf, combined with restricted movement through the Strait of Hormuz, have forced carriers to rethink how they deploy capacity in the region. The knock-on effects are already visible at major Asian transshipment hubs, with Singapore, Malaysia, India, and Sri Lanka all experiencing notable port congestion, while logistics flows through the Philippines and Indonesia have also been disrupted.

Energy costs are adding another layer of pressure. Climbing aviation fuel prices are prompting airlines to revise fuel surcharges and reallocate flight capacity, pushing up the total cost of moving goods by air. In response, shippers are increasingly exploring alternative routing strategies. China-Europe rail connections and sea-air combinations via the U.S. West Coast are gaining traction as ways to balance speed against cost. These are not yet mainstream solutions, but they reflect a broader shift toward building flexibility into supply chains.

Within air freight, AI-related cargo continues to anchor U.S. import demand. However, the reduction in commercial passenger flights out of the Middle East has squeezed belly cargo capacity on Asia-Europe corridors, a constraint that is not easily resolved. Dimerco's VP of Global Sales and Marketing, Kathy Liu, points out that while core cargo demand holds steady, the upward pressure on fuel surcharges means shippers need to plan considerably further ahead than they might have in calmer times. Ted Chen, Global Sales and Marketing Director for Dimerco Ocean Freight, raises a related concern: rising bunker fuel costs at major refuelling hubs could translate into supply tightness and further carrier rate adjustments down the line.

On the regulatory front, a notable change took effect on 20 April 2026, when U.S. Customs and Border Protection rolled out Phase One of its Consolidated Administration and Processing of Entries (CAPE) system. The platform enables companies to electronically file for IEEPA tariff refunds through the ACE Portal, a potentially significant tool for managing import costs. Dimerco is advising clients to get ahead of this by auditing affected import entries and confirming that digital authorisation arrangements between importers of record and their customs brokers are properly set up.

Taken together, the combination of strong revenue performance, supply chain disruption, and evolving trade policy creates a complex picture. Dimerco's approach is to use its global network and digital visibility tools to help customers find stability within that complexity, turning the ability to adapt quickly from a nice-to-have into a genuine competitive edge.