Since 2021, Malta’s export volumes to Italian ports, particularly to Genoa, have been steadily declining, raising concerns about the sustainability of the island’s supply chains.
Data comparing full import and full export trailer loads show a widening gap. While imports remain consistently high, averaging around 27,000–30,000 trailers annually, exports lag at 7,000–10,000 annually.
“This imbalance has consequences,” explains David Fleri Soler from Express Trailers. “Maltese businesses already face higher freight costs than their European counterparts due to the island’s geographic isolation.”
Dwindling export volumes has meant an increase in the export of empty trailers at a cost currently calculated at around €24 million further impacted by the increase due to the ETS of an additional €19 million. This has a direct effect on Malta’s competitiveness in relation to other landlocked European countries.
“Maintaining robust export volumes is more than an economic need”
“Trailer operators have been absorbing most of this cost but this is now become unsustainable and it is a cost that is ultimately being relayed to the end consumer,” added Fleri Soler.
The erosion of export activity is not limited to generic manufacturing. Malta’s medical and pharmaceutical sectors, although historically key contributors to export volumes are not immune, as the recent closure of a medical devices factory has shown. This, coupled with declining export orders from other manufacturers.
“The situation is now at a stage where urgent action is needed. Without a strong export base, Malta risks further weakening of its supply chains which will further drive up import costs and ultimately burden consumers,” added Fleri Soler.
He refers to possible interventions including positioning Malta as a logistics and transshipment hub, leveraging multimodal transport and further advocacy for EU regulations that recognize the challenges faced by island economies. Foreign direct investment aimed at boosting exports is also crucial.
“Maintaining robust export volumes is more than an economic need. It is essential for keeping inflation in check and ensuring the reliability of just-in-time supplies from mainland Europe. Without immediate strategic measures, Malta’s supply chain resilience and long-term competitiveness are now hugely at risk.”
