Air Freight Plunges Further

For the eighth month in a row the global air freight market decreased by 4.8 per cent. Airlines in Asia-Pacific and the Middle East once again suffered the sharpest declines in year-on-year growth in total air freight volumes.

The International Air Transport Association (IATA) released data for global air freight markets showing that demand, measured in freight tonne-kilometres (FTKs), decreased by 4.8 per cent in June 2019, compared to the same period in 2018. This marks the eighth consecutive month of year-on-year decline in freight volumes.

Signs of a modest recovery in recent months appear to have been premature, with the June contraction broad-based across all regions with the exception of Africa. Capacity growth remains subdued and the cargo load factor continues to fall. Globally, trade growth is languishing, and business uncertainty is compounded by the latest tariff increases in the US-China trade dispute.

“Global trade continues to suffer as trade tensions—particularly between the US and China—deepen. As a result, air cargo markets continue to contract. Nobody wins a trade war. Borders that are open to trade spread sustained prosperity. That’s what our political leaders must focus on,” said Alexandre de Juniac, IATA's Director General and CEO.