黑料社区

KAUST drives Vision 2030 with groundbreaking sustainability efforts听

Special KAUST is spearheading innovations in agriculture, energy, and water management, sectors vital to 黑料社区鈥檚 future.听听听
KAUST is spearheading innovations in agriculture, energy, and water management, sectors vital to 黑料社区鈥檚 future.听听听
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Updated 09 December 2024

KAUST drives Vision 2030 with groundbreaking sustainability efforts听

KAUST drives Vision 2030 with groundbreaking sustainability efforts听
  • KAUST鈥檚 Accelerating Impact Strategy focuses on translating research into practical innovations, directly aligning with Vision 2030
  • KAUST is spearheading innovations in agriculture, energy, and water management, sectors vital to the Kingdom鈥檚 future

RIYADH: With a vision that merges innovative research and practical solutions, King Abdullah University of Science and Technology is shaping the future of 黑料社区 by tackling sustainability challenges and driving economic innovation.听听听

Speaking to Arab News on the sidelines of the UN Convention to Combat Desertification COP16 in Riyadh, Sir Edward Byrne, the president of KAUST,听emphasized the university鈥檚 critical role in achieving the Kingdom鈥檚 ambitious goals.

鈥淜AUST has two major contributions to make: brilliant science to validate the principles and the direction forward, and technology implementation to enable the journey,鈥 he said.听听听

KAUST鈥檚 Accelerating Impact Strategy focuses on translating research into practical innovations, directly aligning with Vision 2030.听听听听听

The university鈥檚 initiatives are addressing pressing environmental challenges, fostering economic development, and positioning KAUST as a global research leader.听听听

鈥淲e have several hundred projects currently geared to the environmental needs of the Kingdom,鈥 Byrne said.听听听听听听




Sir Edward Byrne, President of KAUST.

Turning vision into reality听听 听

KAUST is spearheading innovations in agriculture, energy, and water management, sectors vital to 黑料社区鈥檚 future.听听听听

The university鈥檚 Center for Sustainable Food Production is developing salt-resistant crops and advanced soil technologies to enhance dryland farming.听听听

鈥淥ur researchers are making better soil that holds water, enabling efficient farming with minimal resources,鈥 Byrne said.听听

In energy, KAUST is pioneering clean energy generation and battery storage solutions.听听听

鈥淲e鈥檝e signed a memorandum on cryogenic carbon capture with the Ministry of Energy, showing how we can safely store carbon while transitioning to a diverse energy mix,鈥 Byrne said.听

These innovations are not years away but are being developed and implemented now, benefiting both the Kingdom and the global community.听

Water sustainability is another priority. KAUST is exploring methods to reduce the energy cost of desalination by up to 90 percent. 鈥淕enerating water is incredibly energy-intensive,鈥 Byrne said.听听听听

He added: 鈥淲e鈥檙e looking at ways to make it far more efficient, which is crucial for the Kingdom鈥檚 sustainability goals.鈥澨

KAUST鈥檚 contributions extend beyond the lab and into real-world applications, as Byrne highlighted partnerships with key entities such as SABIC, Saudi Aramco, and the Saudi Electricity Co., which are leveraging KAUST鈥檚 expertise to scale transformative technologies.听

Research backed by collaboration听听听听

Prof. Sami Al-Ghamdi, a leading expert in environmental impact research at KAUST, highlighted the importance of collaboration.听听听

鈥淎ddressing sustainability and environmental issues requires partnerships,鈥 Al-Ghamdi said.听听听

He added: 鈥淲e work with ministries, companies like NEOM, and stakeholders to ensure our research translates into actionable solutions.鈥澨

Al-Ghamdi stressed KAUST鈥檚 role in bridging the gap between science and implementation stating: 鈥淲e don鈥檛 just create academic papers. We develop solutions that can be applied locally, nationally, and internationally.鈥澨

For example, KAUST is advancing the Red Sea research agenda, previously underexplored, to tackle global challenges related to energy, water, and food security.听听听

Through startups and innovations, the university is driving real-world applications of its research.听听听

鈥淲e鈥檙e transforming lab research into market-ready solutions, addressing issues like climate and environmental sustainability,鈥 Al-Ghamdi said.听听听听

He pointed out that KAUST is also playing a significant role in promoting green jobs, aligning with global trends in sustainability-focused employment.听听听听

Monitoring sustainability听听听

Prof. Matthew McCabe is at the forefront of KAUST鈥檚 Earth Observation Dashboard, a tool that monitors land degradation and restoration in real time.听听听




Prof. Matthew McCabe.

鈥淲e are looking for planetary variables that we can turn data into actionable intelligence. And that鈥檚 going to be of use for things like the Saudi Green Initiative and the African Forest Restoration Project,鈥 McCabe said.听听听

The dashboard provides independent verification of restoration efforts, a critical need as global agreements like the Kunming-Montreal Protocol call for restoring 30 percent of land by 2030.听

鈥淵ou will be aware that in COP there鈥檚 a number of targets and policies that have been signed by representative countries. The Kunming-Montreal Protocol, for instance, calls for the restoration of 30 percent of land by 2030,鈥 McCabe said.听听听听听

He continued: 鈥淭heir targets and signatures on pages. What we actually need is independent verification that these activities and actions are actually happening. The beauty of having a platform in space is that it can see everything. It sees everywhere. There鈥檚 no country that it鈥檚 not passing over at some point in time.鈥澨

McCabe underscored the economic benefits of restoring ecosystems noting: 鈥淚 think having a healthy environment is the centerpiece of a prosperous economy. Full stop, so certainly there's going to be a huge explosion in green jobs.鈥澨

The platform鈥檚 capabilities extend beyond 黑料社区. 鈥淲e鈥檙e using lessons learned here to support large-scale projects like Africa鈥檚 AFA100, which aims to restore 100 million hectares,鈥 McCabe stated.听

He added: 鈥淲e have shown we can get these actionable insights, turning data into knowledge. We鈥檝e shown that we can do that here in the Kingdom. What we want to do is translate and scale that to everywhere, and we鈥檙e working with partners around the world.鈥澨

This scalability ensures that innovations developed at KAUST can benefit global environmental restoration initiatives.听听听听

Addressing land degradation听听听

In another interview with Arab News, Prof. Fernando Maestre at KAUST stressed that land is fundamental for achieving sustainability.听

鈥淥ur projects improve restoration activities and monitor biodiversity and carbon sequestration across Saudi ecosystems,鈥 Maestre said.听听听

One critical gap Maestre鈥檚 team is addressing is the lack of data on soil organic carbon in arid regions.听听听

鈥淭here is a lack of data from 黑料社区, for instance, and for many other arid and hyperactive regions. One of the key objectives of our research program is to contribute to fill this gap, providing reliable data obtaining and standardize manner across major Saudi ecosystems on soil carbon,鈥 he said.听听

Maestre added: 鈥淎nother key component for research is to provide the ground data that are needed to validate remote sensing approaches that are currently being used to monitor biodiversity and to characterize vegetation productivity, to achieving land degradation neutrality.鈥澨

By combining advanced satellite technology with ground data, Maestre鈥檚 research supports both local and global sustainability efforts.听听听

However, Maestre emphasized the importance of local engagement. 鈥淪atellites won鈥檛 plant trees or move camels,鈥 he said, 听

He added: 鈥淲e listen to local stakeholders and integrate their knowledge with cutting-edge science to create effective solutions.鈥澨

Maestre鈥檚 approach involves building partnerships with local and international collaborators.听听听

鈥淐ollaboration is key to addressing global challenges. By working with over 200 scientists from 25 countries, we bring a global perspective to local issues,鈥 he added.听听听听

His team鈥檚 efforts are helping bridge the gap between research and real-world application, ensuring that science informs policy and practice effectively.听听听听

A bright future ahead

Since its founding 15 years ago, KAUST has established itself as a global research powerhouse.听听听

鈥淜AUST is only 15 years old in an incredibly short period of time, it鈥檚 recognized globally as one of the world鈥檚 truly great research universities that draws incredible engineering and scientific talent into the kingdom, and that鈥檚 happening in an ongoing way,鈥 Byrne said.听

KAUST鈥檚 groundbreaking contributions are already transforming 黑料社区鈥檚 view on global science.听听听听

Byrne emphasized the university鈥檚 role as a beacon for attracting scientific talent to the Kingdom. 鈥淜AUST鈥檚 success shows that 黑料社区 can develop a world-class research university from the ground up, inspiring other initiatives like NEOM,鈥 he said.听

Looking ahead, KAUST鈥檚 commitment to sustainability and innovation will continue to drive progress.听

By addressing challenges in energy, water, food, and land management, the university is ensuring that 黑料社区 not only meets its Vision 2030 goals but sets an example for the world.听听

鈥淜AUST is the third great university I've led, and it is by far the most aligned with the world's needs. The work going on there at the moment to help develop a sustainable future for the planet is in my mind just incredible,鈥 Byrne concluded.听

As the Kingdom advances its Vision 2030 goals, KAUST鈥檚 role in sustainability, economic development, and innovation is more vital than ever.听

With its unique combination of cutting-edge research, strategic partnerships, and actionable solutions, KAUST is not just shaping the future of 黑料社区 but also setting a global benchmark for scientific excellence and sustainability.听


Saudis to get more leadership roles as PepsiCo expands, says regional CEO

Saudis to get more leadership roles as PepsiCo expands, says regional CEO
Updated 31 July 2025

Saudis to get more leadership roles as PepsiCo expands, says regional CEO

Saudis to get more leadership roles as PepsiCo expands, says regional CEO

DHAHRAN: Food manufacturer PepsiCo will offer more leadership roles to Saudis, its regional CEO pledged at the inauguration of the SR300 million ($79.97 million) expansion of its Dammam facility.

Speaking to Arab News, Ahmed El-Sheikh explained how the company supports the Kingdom鈥檚 Vision 2030 economic diversification plan through three main areas 鈥 using local resources, Saudization, and increasing exports.

The announcement came during a visit to the site by Minister of Industry and Mineral Resources Bandar Alkhorayef, who praised the facility鈥檚 contribution to job creation, export growth, and the overall development of the food manufacturing sector in 黑料社区.

The site serves as a key hub in the region, which supplies local markets and exports products to 20 countries across the Middle East.

The PepsiCo MENAP CEO said: 鈥淲e鈥檙e proud to say that 85 percent of our workforce at the Dammam plant are Saudi nationals, one of the highest rates across any of our facilities in the region. With 280 employees currently, this is just the beginning. We plan to grow even further.鈥

He added: "As we move toward greater digitization and automation, we鈥檙e also opening up more opportunities for Saudis to step into technical and leadership roles.鈥 

Recent regulatory changes, which have been made possible through collaboration with the Kingdom鈥檚 Ministry of Environment and Agriculture, now permit PepsiCo to utilize locally grown potatoes for export.

This development has been described by Alkhorayef as a 鈥渟ignificant milestone鈥 for both local farming and policy reform.

鈥淚t demonstrates how we鈥檝e been able to work with PepsiCo over the last few years to ensure the entire supply chain, from farming to production and export, is well managed,鈥 the minister told Arab News.

鈥淎s a result of our success working as a team, we were able to amend the policy so that PepsiCo can now use Saudi grown potatoes for export,鈥 he added.

Bandar Alkhorayef cutting the ribbon on the Dammam facility. Supplied

Sustainability and resource efficiency were focal points during the visit, and Alkhorayef noted that the Kingdom now holds 鈥渁 record in terms of water efficiency in potato cultivation,鈥 a development he called inspiring, not only locally, but globally.

The Dammam plant sources 100 percent of its potatoes from Saudi farms, and uses local materials for secondary packaging, with 70 percent of primary packaging now locally sourced, a percentage PepsiCo aims to push to full localization.

PepsiCo operates in the Kingdom across 86 locations and employs nearly 9,000 people through direct and partner operations.

The company has opened a new regional headquarters in Riyadh鈥檚 King Abdullah Financial District, which will oversee operations across the Middle East, North Africa, and Pakistan, aligning with 黑料社区鈥檚 Regional Headquarters Program.

Further investment is also planned, and El-Sheikh said: 鈥淚n addition to the SR300 million we鈥檝e just invested in the Dammam plant, we鈥檙e preparing to open a state-of-the-art R&D facility in Riyadh in just two months鈥 time.鈥 

The center will cost SR30 million and serve as a hub for product and packaging innovations in the Gulf Cooperation Council region, according to a statement from PepsiCo released in April. 

When it comes to employment, Alkhorayef stressed that Saudization is driven by data and standards.

鈥淭his plant is a great example. It has around 85 percent Saudization, and female participation is about 22鈥23 percent, with more than 25 percent women in the plant workforce itself. That鈥檚 a significant achievement.鈥

He added that the government takes a comprehensive approach to measuring local content, and went on to say: 鈥淏ut measurement is not the goal, it鈥檚 a baseline. The real goal is to use it as a foundation to increase both local sourcing and hiring.鈥

The Dammam plant is one of PepsiCo鈥檚 most advanced in the region, and features energy efficient heating, ventilation, and air conditioning systems, solar panels generating 510 megawatt-hour yearly, and uses recycled water in its processing systems.

These investments align with the sustainability goals in the Kingdom鈥檚 National Industrial Strategy.


Closing Bell: Saudi stock market ends the week in green听

Closing Bell: Saudi stock market ends the week in green听
Updated 31 July 2025

Closing Bell: Saudi stock market ends the week in green听

Closing Bell: Saudi stock market ends the week in green听

RIYADH: 黑料社区鈥檚 Tadawul All Share Index ended the week on Thursday with a slight gain, rising 5.89 points, or 0.05 percent, to close at 10,920.27. 

The total trading turnover reached SR4.38 billion ($1.16 billion), with 417.32 million shares traded. A total of 111 stocks advanced while 136 declined. 

The MSCI Tadawul 30 Index also edged higher, adding 2.66 points, or 0.19 percent, to finish at 1,409.74. 

On the Kingdom鈥檚 parallel market Nomu, the index advanced by 115.90 points, or 0.43 percent, closing at 26,924.98. Of the listed companies, 47 gained while 31 declined. 

Sport Clubs Co. led the gainers, climbing 9.97 percent to SR11.25. They were followed by Al Babtain Power and Telecommunication Co., which rose 5.03 percent to SR56.40, and Bupa Arabia for Cooperative Insurance Co., which added 4.27 percent to close at SR168.60.

Miahona Co. and Saudi Azm for Communication and Information Technology Co. were also among the top performers, gaining 4.23 percent and 3.85 percent, to close at SR27.10 and SR29.66, respectively. 

Saudi Steel Pipe Co. recorded the steepest decline of the session, falling 4.02 percent to SR51.30. It was followed by Yamama Cement Co., which dropped 3.8 percent to SR32.88, and Halwani Bros. Co., down 3.19 percent to SR42.42. 

Arab Insurance Cooperative Co. and Astra Industrial Group also posted losses of 2.92 percent and 2.57 percent, respectively. 

On the announcement front, Umm Al-Qura Cement Co. reported a 6.6 percent year-on-year decline in revenue for the first half of 2025, with sales amounting to SR122.5 million compared to SR131.2 million in the same period last year. 

Net profit also dropped, falling 30.8 percent to SR20.8 million from SR30.1 million over the same period. 

The company attributed the decline in revenue to a decrease in the average selling price per tonne. 

The fall in net profit was linked to the lower sales value and a reduction in other revenues, despite a decline in general and administrative expenses, financing costs, and zakat. 

Shares of Umm Al-Qura Cement Co. closed at SR15.61 on Thursday, down 0.32 percent. 

Almarai Co. confirmed the completion of its acquisition of Pure Beverages Industry Co., following its initial agreement signed on June 15. 

The company stated that the transaction reinforces its strategy to expand its beverage portfolio and strengthen its market presence, while supporting future growth plans. 

Almarai added that the acquisition was finalized with no change to the previously disclosed cost of SR1.04 billion. 

Shares of Almarai Co. closed at SR47.90 on Thursday, down 0.04 percent. 


Oman joins World Free Zones Organization to shore more foreign investment

Oman joins World Free Zones Organization to shore more foreign investment
Updated 31 July 2025

Oman joins World Free Zones Organization to shore more foreign investment

Oman joins World Free Zones Organization to shore more foreign investment
  • Membership will support efforts to improve operational efficiency and develop more targeted marketing strategies
  • It will also help improve competitiveness of territories OPAZ oversees

RIYADH: Oman鈥檚 free zones are set to attract greater foreign investment after signing up to a global network designed to boost the economic areas.

The Public Authority for Special Economic Zones and Free Zones said its membership in the World Free Zones Organization will help improve the competitiveness of the territories it oversees, including industrial cities and free zones, while opening new channels to promote them as flexible and investor-ready destinations with advanced infrastructure.

Free zones are designated areas that offer businesses incentives such as tax exemptions, full foreign ownership, and simplified customs procedures. These districts are designed to attract investment, boost exports, and support economic diversification by providing a competitive and flexible environment for companies to operate.

They are increasingly central to economies in the Middle East, with hubs like Dubai鈥檚 Jebel Ali, Riyadh鈥檚 Special Integrated Logistics Zone, and Egypt鈥檚 Suez Canal Economic Zone driving trade and investment.

鈥淭hrough this international partnership, the authority seeks to expand its network of economic relations and benefit from the latest global trends in the management and development of special economic zones, free zones, and industrial cities,鈥 Oman News Agency reported.

This comes as Oman鈥檚 special economic zones attracted $43.16 billion in investments during the first half of 2023, driven by major projects in Sohar, Salalah, and Duqm, supported by a favorable investment climate fostered by OPAZ and the government鈥檚 diversification strategy.

By joining the organization, which brings together more than 1,600 zones and economic institutions from over 140 countries, the authority will be able to exchange expertise and strengthen its operational capabilities to keep Oman鈥檚 zones competitive globally.

The membership will also support efforts to improve operational efficiency and develop more targeted promotion and marketing strategies to attract high-value projects, ONA said.

The body currently oversees 23 operating special economic zones, free zones, and industrial cities across Oman. These districts attracted cumulative investments totaling approximately 21 billion Omani rials ($54.5 billion) by the end of 2024, reflecting their growing appeal to investors.

The World Free Zones Organization is a network that includes free zones, multinational corporations, and industry stakeholders committed to fostering global trade and investment.

Across the wider Middle East and North Africa region, free zones have become critical enablers of economic diversification and foreign direct investment.

The UAE is home to some of the most prominent examples, including Jebel Ali Free Zone, which hosts more than 9,000 companies, and Abu Dhabi鈥檚 Khalifa Industrial Zone, which supports large-scale manufacturing and logistics operations.

In 黑料社区, the King Abdullah Economic City and the Special Integrated Logistics Zone in Riyadh have emerged as strategic hubs supporting Vision 2030 objectives, while Egypt鈥檚 Suez Canal Economic Zone has attracted global interest as a key gateway for trade and industry.


UAE-led AI pact aims to narrow digital divide in Global South

UAE-led AI pact aims to narrow digital divide in Global South
Updated 01 August 2025

UAE-led AI pact aims to narrow digital divide in Global South

UAE-led AI pact aims to narrow digital divide in Global South

RIYADH: Artificial intelligence adoption in the Global South is set to accelerate under a new UAE-led partnership with Malaysia and Rwanda aimed at expanding ethical AI use and knowledge sharing. 

The agreement, signed under the World Economic Forum鈥檚 Center for the Fourth Industrial Revolution global network, builds on an initiative launched by the UAE and Rwanda at the 2024 WEF Annual Meeting in Davos, according to a press release. 

The partnership comes amid rising global concern that emerging technologies could exacerbate inequality. The UN estimates the AI market will reach $4.8 trillion by 2033, warning that without inclusive frameworks, the Global South risks being left behind. 

Gobind Singh Deo, minister of digital in Malaysia, said his country 鈥渋s proud to join forces with the UAE and Rwanda in this visionary initiative to bridge global AI expertise and accelerate digital transformation for a more inclusive and sustainable future.鈥 

He added: 鈥淭his partnership involving Malaysia Center4IR, C4IR UAE, and C4IR Rwanda reflects our collective goal for a future that is driven by responsible AI innovation.鈥 

Singh Deo expressed hope that the C4IR Network AI Fellowship Program, developed through the collaboration, would act as a crucial bridge connecting AI leaders and experts across continents. 

鈥淏y sharing knowledge, exchanging talent, and co-creating solutions, we aim to address the critical challenges and harness the immense potential of AI for the benefit of not only our nations, but the wider global community,鈥 he added. 

The memorandum of understanding was witnessed by UAE Minister of State for Artificial Intelligence Omar Al-Olama and Malaysia鈥檚 Singh Deo. It aims to deepen South-South collaboration on technology policy, research, and skills development. 

With Malaysia now joining, the expanded C4IR AI Fellowship Program will support talent exchange, joint innovation, and responsible governance frameworks led by Global South countries. 

鈥淭his expanded partnership will help the Global South to unlock greater value from AI and Fourth Industrial Revolution applications,鈥 said Khalfan Belhoul, CEO of Dubai Future Foundation. 

鈥淕uided by our leadership, the UAE is committed to building and strengthening global collaboration to achieve inclusive, sustainable development through technology and knowledge sharing,鈥 he added. 

Crystal Rugege, managing director of the Rwanda Center for the Fourth Industrial Revolution, noted that the strategic partnership complemented Rwanda鈥檚 flagship initiatives, including the AI Innovation Lab and the Global AI Summit on Africa, thereby enhancing efforts to promote cutting-edge research, knowledge transfer, and capacity building. 

鈥淏y strengthening responsible AI governance and accelerating practical AI adoption, we are committed to empowering Rwanda, our partner countries, and the global AI ecosystem to fully leverage AI for sustainable and inclusive development,鈥 she added. 

The Global Center for the Fourth Industrial Revolution Network brings together public and private sector partners to harness emerging technologies while managing their risks. It promotes the responsible use of these technologies through a global network of independent centers.


Middle East air cargo capacity rises 1.5% despite falling demand

Middle East air cargo capacity rises 1.5% despite falling demand
Updated 31 July 2025

Middle East air cargo capacity rises 1.5% despite falling demand

Middle East air cargo capacity rises 1.5% despite falling demand
  • Performance reflects broader slowdown in global air cargo
  • Slowdown attributed to rising protectionism, including new US tariffs

RIYADH: Middle Eastern air cargo capacity grew 1.5 percent year on year in June, even as regional demand contracted by 3.2 percent due to geopolitical tensions and airspace disruptions. 

The rise in available cargo space, measured in available cargo tonne-kilometers, came amid route disruptions over parts of Iran, Iraq, Israel, and Lebanon. These factors drove the region鈥檚 second consecutive monthly contraction in cargo volumes, according to the International Air Transport Association鈥檚 latest air cargo market report.

The performance reflects a broader slowdown in global air cargo, with IATA鈥檚 mid-year forecast projecting 0.7 percent volume growth, down from 11.3 percent in 2024. 

The slowdown is attributed to rising protectionism, including new US tariffs and the rollback of de minimis exemptions on low-value imports, which could dampen e-commerce-related air freight. 

鈥淭he June air cargo data made it very clear that stability and predictability are essential supports for trade,鈥 said Willie Walsh, IATA鈥檚 director general. 

鈥淓merging clarity on US tariffs allows businesses greater confidence in planning. But we cannot overlook the fact that the 鈥榙eals鈥 being struck are resulting in significantly higher tariffs on goods imported into the US than we had just a few months ago,鈥 he added. 

While the full economic impact of these trade cost barriers remains to be seen, Walsh said governments must step up efforts to make trade simpler, faster, cheaper, and more secure through digitalization. 

The Asia-North America and Africa-Asia trade lanes each contracted by 4.8 percent, while Middle East-Europe declined by 4.5 percent. In contrast, trade between Europe and Asia expanded by 10.6 percent, maintaining 28 consecutive months of growth. 

鈥淥verall, air cargo demand grew by a modest 0.8 percent year-on-year in June, but there are very differing stories behind that number for the industry鈥檚 major players,鈥 Walsh said. 

Trade tensions dragged North American traffic down 8.3 percent and left European growth at 0.8 percent, but Asia-Pacific defied the trend with a 9 percent expansion. 

鈥淢eanwhile, disruptions from military conflict in the Middle East saw the region鈥檚 cargo traffic fall by 3.2 percent,鈥 added Walsh. 

When it came to passenger numbers, Middle Eastern carriers saw a 0.4 percent year-on-year decrease in demand. Capacity increased 1.1 percent year on year, and the load factor was 78.7 percent 鈥 a 1.2 percentage point drop compared to June 2024.

According to the IATA, military conflict particularly impacted traffic on routes to North America 鈥 down 7 percent year on year 鈥 and Europe, which saw an annual reduction of 4.4 percent.

鈥淚n June, (global) demand for air travel grew by 2.6 percent. That鈥檚 a slower pace than we have seen in previous months and reflects disruptions around military conflict in the Middle East,鈥 said Walsh. 

Despite the challenging backdrop, some fundamentals remain supportive. Global industrial production rose 3.2 percent year on year in May, and goods trade increased by 3.5 percent. 

Jet fuel prices in June were 12 percent lower than a year ago, easing cost pressures for carriers. 

While the global Purchasing Managers鈥 Index recovered to 51.2, signaling expansion, new export orders remained in contraction at 49.3. 

Adding to the complexity of the regional dynamic, Middle East airlines are simultaneously expected to post the world鈥檚 highest net profit margin in 2025 at 8.7 percent, according to IATA鈥檚 June industry forecast presented at its 81st annual general meeting in New Delhi. 

The region is projected to generate a net profit of $6.2 billion, up from $6.1 billion in 2024, and is expected to earn $27.20 per passenger, outpacing all global peers despite demand volatility and regional instability.