The Malta Maritime Forum (MMF) has called for active measures to strengthen Malta’s position as a regional maritime hub, warning that growing geopolitical uncertainty, regulatory pressures and the transition towards decarbonisation are reshaping the global shipping landscape.

Addressing the Forum’s Annual General Assembly held at MaritimeMT, MMF chairman Godwin Xerri presented a 77-point maritime-centred electoral manifesto aimed at reinforcing the sector’s strategic contribution to the Maltese economy ahead of the next general election.

The proposals, which have already been presented to Malta’s main political parties, focus on four key areas: governance, the National Maritime Transport Strategy, education and skills, and infrastructure. Central among the recommendations is the re-establishment of a National Maritime Authority, a measure the forum argues would improve coordination, accelerate decision-making and provide clearer strategic direction for the industry.

Xerri also called for the appointment of a minister specifically responsible for maritime affairs, supported by a permanent interministerial structure to strengthen coordination across government.

“The common objective across all proposals is to strengthen the industry’s role within the economy and position Malta as a leading regional maritime hub,” he said.

The MMF stressed that Malta’s maritime policies must align both with the government’s Vision 2050 framework and emerging European Union strategies. Xerri argued that EU policies should better reflect the realities faced by island states such as Malta, particularly as the industry grapples with digitalisation and decarbonisation requirements.

Among the forum’s proposals are measures to enhance the competitiveness of the Malta ship registry, attract investment in ship finance and support the development of clean-fuel bunkering infrastructure.

On infrastructure, the MMF reiterated its call for new multi-purpose quays within the Grand Harbour and urged the government to proceed with the long-delayed Ras Ħanżir project before works linked to the Grand Harbour Revival Plan commence. The forum also renewed calls for a full nautical risk assessment to safeguard existing and future commercial port activity.

Addressing members during the assembly, MMF CEO Kevin J. Borg outlined the organisation’s lobbying efforts in Brussels, particularly concerning the European Union Emissions Trading System (EU ETS).

Borg said an MMF delegation had met European Commission officials, Maltese MEPs and European Commissioner Glenn Micallef earlier this year to highlight concerns about carbon leakage and business competitiveness arising from the current ETS framework.

While supporting the principle behind the emissions system, the forum argued that revisions are needed to better reflect the operational realities of European ports and maritime operators.

The MMF has also submitted formal positions to the European Commission regarding the EU’s Islands and Coastal Communities Communication, as well as proposed Ports and Maritime Industrial strategies.

Meanwhile, Kenneth Farrugia, CEO of Bank of Valletta, highlighted the banking sector’s role in supporting the industry’s next phase of growth.

Farrugia pointed to opportunities in ship finance and noted that the bank is exploring syndicated financing structures in collaboration with the MMF. He also emphasised the importance of financing digitalisation and green investments through partnerships with the European Investment Bank and the Malta Development Bank.

The BOV CEO underlined the importance of compliance, transparency and anti-money laundering procedures, while noting that a resilient maritime ecosystem remains critical to Malta’s wider economy given the country’s dependence on maritime connectivity.

Economic projections presented by economist Gordon Cordina showed the maritime industry continued to expand steadily between 2018 and 2025, driven by port activities, maritime business services and water transport.

Cordina said the sector now generates 4.8% of Malta’s value added while accounting for around 2% of national employment, making labour productivity in the industry more than double the economy-wide average.

He noted that future growth should increasingly focus on high-productivity services such as regulatory and governance functions, maritime finance and legal services, as well as education and human capital development.

“The industry is of systemic importance to Malta’s economic model,” Cordina said, adding that continued competitiveness and sustainability would be essential for long-term economic resilience and the successful implementation of the National Maritime Transport Strategy.

He concluded that Malta’s maritime ambitions under Vision 2050 would depend on continued innovation, private investment and political commitment to higher-value maritime services.

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In an interview with The Malta Business Weekly, Etienne Attard says the logistics industry has moved beyond reacting to occasional shocks and is now adapting to a fundamentally different global trading environment shaped by geopolitical instability, trade fragmentation, energy volatility, and supply chain insecurity.

“International logistics is no longer characterised by episodic disruption,” Attard explains. “What we are seeing today is a structural condition of uncertainty that is reshaping the entire sector.”

With more than seventy years of experience in transport and logistics, Express Trailers has witnessed multiple economic and geopolitical cycles. However, Attard argues that the current environment differs significantly from previous periods of volatility.

“In the past, crises were generally viewed as temporary events — whether it was the pandemic, the war in Ukraine, port congestion, or energy shocks. The assumption was always that markets would eventually stabilise. Today, there is growing recognition across the industry that instability itself has become the operating environment.”

According to Attard, the traditional logistics model built around efficiency optimisation and predictable globalisation is being replaced by one centred on resilience and adaptability.

“Global trade is more fragmented, more politicised, and less predictable than at any point in recent decades,” he says. “Supply chains are now being redesigned around the expectation of recurring disruption rather than stable international conditions.”

The impact is particularly visible in smaller and strategically located markets such as Malta, where maritime connectivity and international trade routes are critical to economic activity.

“For Malta’s logistics sector, trade wars, tariff volatility, and maritime insecurity can no longer be treated as temporary distortions,” Attard notes. “They are increasingly structural features that directly influence routing decisions, pricing, transit times, and customer behaviour.”

One of the most immediate challenges facing operators is growing operational complexity.

Attard identifies three major dynamics currently reshaping the sector.

“The first is persistent route volatility,” he explains. “Disruptions in maritime corridors such as the Red Sea have forced significant rerouting around Africa, increasing transit times and creating cascading effects throughout supply chains.”

A second challenge is regulatory fragmentation.

“As trade blocs become more rigid and tariff regimes shift more frequently, logistics companies are having to develop stronger capabilities in customs intelligence, compliance management, and regulatory coordination,” he says. “These are no longer administrative functions — they are now strategic operational requirements.”

At the same time, customer expectations are also evolving rapidly.

“Many businesses are moving away from purely cost-driven just-in-time supply chain models,” Attard says. “There is a growing emphasis on resilience, redundancy, regional diversification, and maintaining higher inventory buffers.”

This transformation, he argues, is also changing the role of logistics providers themselves.

“The sector is becoming less transactional and far more advisory in nature. Customers increasingly need partners who can help them interpret instability, manage scenarios, and maintain visibility across disrupted networks.”

For operators in Malta, this creates both pressure and opportunity.

“The pressure is clear — tighter margins, shorter planning cycles, and less predictable asset utilisation,” Attard says. “Traditional efficiency-led models are becoming increasingly insufficient.”

However, he believes companies that can offer agility, intelligence, and responsiveness will be best positioned to grow.

“As complexity increases, so does the value of orchestration,” he explains. “Logistics providers are evolving from transport operators into strategic intermediaries between global volatility and local execution.”

In this environment, Attard believes scale alone is no longer enough.

“The key differentiators today are adaptability, information, and responsiveness,” he says.

Looking ahead, Attard believes the industry must abandon the expectation that global logistics will eventually return to a stable equilibrium.

“The strategic question is no longer how to return to normal,” he concludes. “The real question is how to operate reliably in a world where normal no longer exists.”

The post ‘Today, logistics is about helping clients manage permanent disruption’ first appeared on The Malta Business Weekly.

Operators are reporting sustained diesel price inflation, with Italian retail prices exceeding €2 per litre. This has triggered significant cost escalation across the trailer and freight industry, with estimates suggesting additional weekly sector costs in the region of €80 million. Diesel, which typically accounts for 30% to 40% of operating costs, is now placing extreme pressure on carrier margins.

ATTO Chairman Joseph Bugeja said early signs of disruption are becoming more evident.

“Alongside sustained cost pressures, we are seeing isolated instances of fuel supply constraints in parts of Italy. While not yet systemic, these warrant close monitoring,” he said.

Member operators report increasing operational strain.

“To date we have not experienced systemic uplift failures, though drivers have occasionally encountered stations with limited availability,” said Antoine Vella of Express Trailers. “Rising diesel costs are now requiring continuous monitoring and rapid operational adjustments.”

He added that the volatility is increasingly affecting planning and network reliability.

“With vehicles operating across Europe, refuelling has become more critical and is adding complexity to daily operations. The uncertainty in the current environment could have significant implications for Malta’s logistics chain,” he said.

GMC Transport reported fuel cost increases of 20% to 30% over recent months, with margin compression of up to 40%. Director Mark Buttigieg said pricing pressure is now forcing urgent rate reassessments across client contracts.

Concorde’s Jonathan Vella said operators are responding with tactical mitigation measures.

“We are refuelling earlier, relying on larger motorway stations, and avoiding low fuel thresholds before entering Italy or France,” he said. “Even minor delays can now cascade into missed ferry schedules and trailer rotation disruption.”

He noted that cost inflation across EU corridors remains severe, with diesel up approximately 35% over three months and 37% over six months.

Meantime, the Italian government has introduced excise duty reductions and tax credits for transport operators to ease pressure on the haulage sector. However, industry feedback suggests these measures are being outpaced by the scale of cost increases.

At the same time, associations are raising concerns that part of the recent diesel price escalation may be driven by speculative pricing dynamics, amplifying volatility beyond underlying market fundamentals and intensifying financial strain across operators.

More broadly, the Italian haulage sector is facing liquidity pressure due to rising costs and 60–90 day payment cycles, increasing the risk of rate renegotiations, service reductions, and potential operational disruption.

ATTO also noted that pricing transmission across Europe remains uneven due to differing taxation systems and policy interventions, contributing to corridor volatility.

Bugeja emphasised Malta’s structural exposure as a fully import-dependent island economy.

“With no overland alternatives, Malta is entirely dependent on the reliability of European transport corridors. Around 55,000 trailer movements annually underpin national trade flows, and any sustained disruption, whether it’s cost-driven or physical, can rapidly impact economic stability,” he said.

ATTO concluded that while domestic fuel pricing measures offer partial insulation, Malta remains exposed to external corridor volatility, as most absolute fuel uplift occurs outside the country. The association will continue to monitor developments closely and engage stakeholders where necessary to safeguard supply chain continuity.

The post Escalating fuel cost and emerging strain along European routes leading to serious logistics concern first appeared on The Malta Business Weekly.

Xuereb, who also serves as chief Operations officer of Global Ports Holding, said the move forms part of a broader strategy to expand home porting operations and strengthen Malta’s position as a Mediterranean cruise hub.

The port recorded a landmark year in 2025, with 962,966 passengers passing through its facilities across 385 cruise calls. While this represents strong performance, Xuereb noted that most calls are transit visits, meaning passengers spend only the day in Malta. Cruise ships typically berth at 8am and depart around 6pm, limiting visitor engagement to roughly 10 hours.

The port’s strategic focus is now shifting toward home porting and fly-cruise operations, where voyages begin or end in Malta. Unlike transit calls, home port operations generate additional economic activity through air travel, hotel stays and extended tourism. Xuereb argued that cruise-and-stay packages are particularly valuable, as they encourage passengers to arrive earlier or remain after disembarkation, converting cruise visitors into stay-over tourists. This increases per capita expenditure, lengthens stays and deepens engagement with the destination.

Home port operations generally run between 4am and 10pm, sometimes extending overnight to accommodate boarding. However, the current terminal infrastructure is limited. The existing facility is small, and the company believes a purpose-built home port terminal is necessary to support its expansion plans.

Such a terminal is not included in the government’s Grand Harbour Revival Plan. Xuereb said the port is seeking further clarity on planned infrastructure changes before submitting a formal proposal. Ideally, the new facility would be located at the Deep Water Quay, which he described as the only logical adjacent expansion point. Splitting operations across multiple locations on a small island would be inefficient, he argued, and expansion toward the Deep Water Quay aligns with the broader government vision.

Xuereb welcomed the public consultation process surrounding the Grand Harbour plan, describing it as a long-term and transformative vision that balances heritage preservation, public access and mixed-use development. He said regeneration efforts complement cruise operations and enhance the wider destination experience. The cruise port and the Valletta Waterfront, he added, have already played a catalytic role in revitalising the area. The port is participating in consultations both independently and through the Malta Maritime Forum.

Space remains the port’s primary operational constraint. Situated at the foot of the capital beneath historic bastions, the narrow strip between quay and fortifications limits flexibility. Xuereb acknowledged these challenges but said operational efficiency has improved as a result. He also credited support from national authorities, particularly the Transport and Tourism ministries, and highlighted the importance of Transport Malta officials in managing traffic during busy operational days.

Looking ahead, 2026 is expected to build on the momentum of 2025, which surpassed pre-pandemic highs recorded in 2019. Cruise calls are projected to increase by around 20% to 420, although passenger numbers will remain broadly stable. This reflects a shift toward smaller, luxury vessels with lower capacity.

The rise in luxury cruising is influencing both port operations and onshore offerings. According to Xuereb, higher-end guests increasingly request exclusive experiences such as private concerts, lunches in private residences or curated wine-tastings. Luxury cruise lines sometimes even request scheduling gaps to avoid sharing port space with large ships. In response to growing demand for high-service travel, some major operators have adopted a “ship-within-a-ship” model, creating premium enclaves within larger vessels that combine exclusivity with the amenities of mass-market cruising. This hybrid approach allows operators to serve more discerning clientele without sacrificing scale.

Xuereb emphasised the sector’s strategic value as a gateway market: 80% of cruise passengers last year were first-time visitors to Malta. Of the remaining 20% who had previously visited, two-thirds had first discovered the island via cruise travel. Additionally, 87% expressed interest in returning for a longer stay, and nearly 90% rated Malta eight out of 10 or higher when asked if they would recommend it. In Xuereb’s view, cruises function as a powerful marketing channel, generating repeat visitation and sustained tourism growth.

He suggested that Malta could leverage cruise arrivals more effectively within its broader tourism strategy. Delivering a high-quality experience during a brief port call is essential if visitors are to return. Infrastructure improvements, reduced waiting times at cultural sites and smoother traffic management would enhance overall satisfaction. While the port manages the on-quay experience, the wider visitor journey depends on coordination across multiple stakeholders.

Demographic shifts are also reshaping the sector. When Xuereb entered the industry more than two decades ago, the average cruise passenger was over 65. Today, the global average age has fallen to around 45, reflecting broader market diversification. The cruise season has likewise expanded. What was once concentrated between May and September now stretches from March through November, with winter cruising increasingly common. According to industry data, nearly one-third of global cruise passengers in the past two years were first-time cruisers.

Malta’s central Mediterranean location supports its inclusion in Western, Eastern and Adriatic itineraries, reinforcing its strategic appeal. Cruise visitors are also venturing beyond Valletta during stopovers. Excursions frequently include trips to Mosta, Mdina and Rabat, as well as combined cultural tours linking the Upper Barrakka Gardens and St John’s Co-Cathedral with the Tarxien Temples and Mdina’s ramparts. Experiential activities such as Maltese cooking classes, wine and olive oil tastings, and visits to prehistoric temple complexes are increasingly popular. Smaller-group or private excursions – including visits to the Blue Grotto and Marsaxlokk – are also in growing demand.

In parallel with operational expansion, several infrastructure projects are underway. The government, through Transport Malta and Infrastructure Malta, is widening the Pinto 4 and 5 quays. The cruise port is developing a four-storey car park within the Valletta Waterfront precinct. Additionally, the historic old power station complex in Floriana, located at the foot of Crucifix Hill, is set to be converted into a boutique hotel under an agreement with a local hospitality company.

Environmental measures are also advancing. Valletta became the first Mediterranean port to provide onshore power supply to cruise ships through its shore-to-ship project. In 2025, approximately 107 vessels connected to the system, significantly reducing emissions in the harbour area. Xuereb noted that each vessel requires technical adaptation and testing before connecting, but described the initiative as a major success that contributes meaningfully to carbon reduction.

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He was addressing the association’s annual conference, named Europe’s Island Link: Advocating Malta’s Role in the EU’s Transport Strategy. The conference brought together key policymakers, European representatives and industry stakeholders to discuss the strategic, regulatory and operational challenges facing Malta’s road haulage and logistics sector, particularly the fragility of Malta’s connection disadvantages as an island state.

In his opening address, Bugeja declared that Malta “can no longer afford economic isolation,” and stressed that the sector which keeps the island supplied and connected to Europe is being pushed to its operational limits.

“A mere two-day storm recently led to reported shortages in supermarkets. If disruptions of that nature were prolonged, the consequences would be catastrophic,” Bugeja said.

“Our members are not simply moving trailers. They are safeguarding Malta’s economic resilience and national security of supply.”

ATTO represents the operators responsible for guaranteeing the seamless daily movement of goods between Malta and mainland Europe. Yet, despite their strategic importance, the sector continues to face structural disadvantages at both EU and national levels.

At a European level, ATTO has intensified its advocacy against blanket policies that fail to recognise Malta’s island realities. Chief among these is the EU’s Emissions Trading System (ETS), which as of 1 January has reached 100% implementation for maritime transport.

According to ATTO, the cumulative impact of ETS-related costs and fuel surcharges is imposing disproportionate and unjust financial burdens on Malta’s transport and logistics industry.

“These costs are ultimately being filtered down to Maltese consumers. As an island state on the periphery of Europe, Malta does not have the luxury of alternative land connections. Yet EU environmental and transport measures continue to be designed as though we operate under the same conditions as continental Member States,” he added.

Turning to local issues, Bugeja referred to infrastructure constraints within the Grand Harbour which continue to undermine operational efficiency, particularly as trailer volumes increase under increasingly strict delivery timeframes.

While acknowledging the long-term vision behind the recently unveiled Grand Harbour Revival Plan, Bugeja made it unequivocally clear that ATTO cannot support proposals that may compromise two of the most strategic Ro-Ro berths without guaranteed and viable alternatives.

“Our Grand Harbour is a cornerstone of Malta’s supply chain and economic competitiveness. We cannot accept regeneration plans that jeopardise Ro-Ro trailer operations. Another berth was already sacrificed in previous years to accommodate larger cruise liners. Repeating that approach would be extremely dangerous.”

He maintained that any redevelopment, including proposals involving Ras Ħanżir, must be operationally robust, future-proof and aligned with national logistics requirements before implementation proceeds.

The Association also called for stronger political recognition of the sector’s strategic status.

“This is not merely a business activity,” Bugeja stressed. “International trailer operations underpin employment, sustain trade flows and ensure uninterrupted connectivity with Europe. Both major political parties must fully grasp the national implications of policy decisions affecting our industry.”

“ATTO is not anti-progress,” Bugeja concluded. “We advocate forward-thinking, balanced solutions. But we will firmly oppose any proposal, local or European, that undermines Malta’s operational resilience or places our nation at a structural disadvantage. The stakes are simply too high.”

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The Minister explained that over recent months, the Office of the Chief Medical Officer, together with Gozo General Hospital, has worked on structuring this tender to introduce an innovative transport solution that will benefit dozens of Gozitan patients who can receive treatment in Gozo rather than travelling to Malta.

Through this service, medicines such as monoclonal antibodies are expected to be transferred regularly, safely, and rapidly, allowing more patients to access the care they need at an expanded Day Care Unit within Gozo General Hospital. The related infrastructure is currently being extended to accommodate up to fifteen patients instead of the present six.

Minister Abela praised the efforts of the Pharmacy and Pathology Departments at both hospitals and acknowledged expert input from Transport Malta, the Civil Protection Department, and officials from the United Kingdom.

Beyond medicines, the drone service will also be used to transport blood samples, fluids, and tissue specimens, enabling quicker testing and more robust diagnoses, ultimately leading to improved levels of care. The tender is intended to link all entities within the Ministry for Health and Active Ageing, including San Vinċenz de Paul and the Ċensu Moran Centre.

Describing the initiative as a historic step for healthcare in Gozo, Minister Abela stated that over €1 million will be invested over the next two years to enhance comfort and quality of care for Gozitan patients on the island.

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Sea transport between Malta and Gozo

Between October and December 2025, a total of 11,829 trips were carried out, carrying a total of 1,839,008 passengers. December was the busiest month recording a total of 4,029 trips or 34.1 per cent of total trips for the quarter.

Sea transport between Mġarr and Ċirkewwa

A total of 1,526,411 passengers travelled between Mġarr and Ċirkewwa during the fourth quarter of 2025, an increase of 8.5 per cent when compared to the corresponding quarter of 2024. The highest number of passengers, 573,413 or 37.6 per cent of the total for the quarter, was recorded in October. When compared to the corresponding quarter of the previous year, the number of vehicles increased by 4.5 per cent, totalling 529,930.

The number of trips during the fourth quarter amounted to 9,142, an increase of 0.9 per cent over the same period in 2024. October registered the highest number of trips, 3,118 or 34.1 per cent of total trips for the quarter.

During January-December 2025, vehicle traffic originating from the Mġarr terminal was highest on Sundays and Mondays, while passenger traffic was busiest on Sundays and Saturdays. On the other hand, vehicle traffic originating from Ċirkewwa was busiest on Fridays and Saturdays, while passenger traffic was busiest on Saturdays and Fridays.

Sea transport between Mġarr and Valletta

During the fourth quarter of 2025, a total of 2,687 trips were carried out carrying a total of 312,597 passengers. When compared to same quarter in 2024, the number of trips increased by 11.8 per cent and the number passengers increased by 25.6 per cent. December registered the highest number of trips, totaling 950, or 35.4 per cent of all trips for the quarter, while October registered the highest number of passengers, amounting to 125,770, or 40.2 per cent of the quarterly total.

Annual Perspective

During 2025, the total number of trips by the Gozo Channel ferry service and the fast ferry increased by 1,707 trips or 3.8 per cent, when compared to 2024. Vehicle movements between the islands increased by 63,069 or 3.0 per cent, over the previous year, while the number of passengers went up by 511,306 or 7.4 per cent. During 2025, August recorded the highest number of trips totalling 4,099, and also the highest number of vehicles and passengers, with 210,290 and 740,474 respectively.

The post More than 1.8m passengers on Malta-Gozo trips in Q4 2025 – NSO first appeared on The Malta Business Weekly.

The initiative was announced by the Minister for Gozo and Planning, Clint Camilleri, together with the Minister for Transport, Infrastructure and Public Works, Chris Bonett. The task force forms part of the Government’s broader vision to address present needs while investing in Gozo’s long-term sustainability.

Given the harbour’s central role in Gozo’s social and economic life, the task force will assess the current state of Mġarr Harbour and put forward recommendations aimed at ensuring sustainable operations, long-term resilience and possible strategic solutions for both the harbour and the island. The objective is to better accommodate continued growth in economic and tourist activity in the years ahead.

Minister Camilleri noted that unprecedented economic growth over the past decade, coupled with sustained increases in both domestic and inbound tourism, has led to a sharp rise in activity at Mġarr Harbour. He said the port has become one of the busiest maritime hubs in Europe in terms of vessel movements and passenger volumes. This growth, he added, is placing increasing pressure on the harbour and related infrastructure, particularly Triq ix-Xatt, which currently serves as the only road link between the port and the rest of the island. The task force, he said, will allow for consultation, informed decision-making and the eventual implementation of a clear plan for the future.

Mġarr Harbour provides round-the-clock connectivity between Gozo and Malta through multiple operators, including Gozo Channel Operations Ltd and Gozo Highspeed. This uninterrupted connection is essential for residents, visitors, economic activity, tourism, freight transport and emergency operations.

Minister Bonett said that Gozo’s connectivity is set to improve further, with fast ferry links expected to expand beyond Cirkewwa and Valletta to include Bugibba and Sliema. He stressed that improved connectivity must be matched by upgraded infrastructure within Gozo itself to support continued economic growth and ensure efficient links between the islands.

The task force will draw up a strategic plan for the optimal and sustainable use of Mġarr Harbour, including the possible expansion of facilities. Its work will involve assessing social, economic and environmental impacts, exploring alternative road connections between the harbour and Gozo’s arterial road network, and developing practical recommendations for long-term resilience.

Chaired by the Gozo Regional Development Authority, the task force includes representatives from key stakeholders, including business, tourism, transport, infrastructure, environmental authorities and the Għajnsielem Local Council.

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Minister for Gozo and Planning Clint Camilleri said the figures confirm that Gozo has become a natural choice for both Maltese residents and tourists seeking a short break during the festive season, in line with the objectives of the Gozo: An Island of Villages strategy.

Between Monday 22 December 2025 and Sunday 4 January 2026, a total of 258,710 passengers travelled to and from Gozo on Gozo Channel ferries. This represented an increase of 6.7% when compared to the same period last year.

In addition, Gozo Highspeed, which operates the fast ferry service between the Grand Harbour and Mġarr, confirmed that it carried 42,331 passengers during the same festive period. This marked an increase of 9,529 passengers, or 29.05%, over the corresponding period in 2024-2025.

Combined, the two services accounted for 301,041 passenger crossings during the 2025-2026 Christmas period, reflecting an overall increase of 9.3% compared to last year.

The ministry noted that when compared to the Christmas period of 2012-2013, under a Nationalist administration, the latest figures represent a record increase of 133%, more than double the number of passengers who crossed the channel at that time.

Camilleri welcomed the record results, saying they confirm the ongoing work being carried out by the ministry and other entities to position Gozo as an attractive destination throughout the year. He said the figures provide further motivation to continue implementing the government’s strategy to make Gozo a year-round island.

The minister also referred to a survey conducted by the Gozo Tourism Association, which found that 60% of tourism operators reported better performance than last year, while around 20% said business levels were similar to those of the previous year.

Camilleri said the government will continue to build on this momentum while safeguarding the qualities that distinguish Gozo from other destinations, including its tranquillity, sense of calm and range of activities. He concluded by thanking everyone who chose Gozo for the festive period, as well as those involved in organising more than 165 Christmas-related activities that contributed to another successful season for the island.

The post Record Christmas passenger traffic to Gozo as more than 301,000 cross the channel first appeared on The Malta Business Weekly.

In a statement, the Association warned that this measure will impose yet another disproportionate and unjust financial burden on Maltese consumers and the transport and logistics industry as a whole.

ATTO explained that the ETS and fuel surcharge applied to a single round-trip trailer on the Genoa-Malta-Genoa route will amount to €734.40. Based on 2025 projections, which are expected to close with approximately 54,500 trailers operating on core Ro-Ro vessel routes from Genoa, Livorno, Salerno, and Catania, the cumulative impact is estimated to translate into an additional annual cost of around €16.5 million.

The association questioned whether it is equitable or economically sound for the European Union to impose a uniform 100 per cent ETS surcharge on an island nation with no viable transport alternatives, effectively penalising Malta for its geography rather than supporting its long-term economic sustainability.

“These costs are not only exorbitant, they punish Malta simply for being an island,” said Joseph Bugeja, Chairman of ATTO. He added that “these costs will ultimately and inevitably be passed on to Maltese consumers and industry.”

“Malta does not have the option of overland transport. Unlike mainland states, our supply chains are entirely dependent on maritime connections. There is no alternative route to market. Every surcharge imposed on trailer movements is, in reality, a surcharge on the Maltese consumer, economy, and competitiveness,”  Bugeja added.

ATTO emphasised that while Malta is a committed EU Member State and fully supports environmental objectives, policy implementation must reflect economic realities. The Association warned that applying ETS charges without island-specific mitigation measures undermines competitiveness, fuels inflation, and places Maltese industry at a structural disadvantage within the Single Market.

For the past two years, ATTO has been calling for urgent dialogue at both national and EU levels, insisting that Malta’s status as an island nation with an island-based economy be formally recognised in the application of ETS-related charges.

From 1 January 2026, ETS rates and shipping-related surcharges will increase from 70 per cent to full application on 100 per cent of emissions.

“This becomes a real and measurable cost borne by families and businesses across Malta,” Bugeja said.

“This is no longer a theoretical discussion. Without corrective measures, the outcome will be higher consumer prices, further erosion of competitiveness for local businesses, and increased pressure on national supply chains.”

“For Maltese consumers and businesses, this situation is no longer sustainable. The fundamental question that must now be answered is whether Maltese consumers, as European citizens, should continue to be penalised simply for living in an island state,” he concluded.

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