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Air cargo markets in Asia Pacific posted another month of growth in July 2026, albeit at a more moderate pace, as strong demand for technology products was partly offset by softer demand for consumer goods
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International air cargo demand grew by 1.1% year-on-year to 6.530 billion freight tonne kilometers in July, while offered freight capacity expanded by 1.8% to 10.661 billion available FTK
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For the first seven months of the year, international air cargo demand rose 6.2% year-on-year to 43.962 billion FTK, “although the pace of growth has become more moderate in recent months”
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International passengers carried by Asia Pacific airlines in July 2026 recorded a 1.3% decline to 32.4 million
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Higher air fares continued to weigh on demand among price-sensitive leisure travellers while regional travel was affected by further rationalization of network operations in response to elevated jet fuel prices
Air cargo markets in Asia Pacific posted another month of growth in July 2026, albeit at a more moderate pace, as strong demand for technology products was partly offset by softer demand for consumer goods, according to the Association of Asia Pacific Airlines (AAPA).
International air cargo demand grew by 1.1% year-on-year to 6.530 billion freight tonne kilometers (FTK) in July, while offered freight capacity expanded by 1.8% to 10.661 billion available freight tonne kilometres (AFTK), according to preliminary figures released by AAPA.
Consequently, the average international freight load factor declined by 0.4 percentage points to 61.3% for the month.
“The cargo business segment continued to benefit from growth in export activity from major regional manufacturing hubs,” AAPA director general Wong Hong said.
READ: Asia Pacific carriers handle 3.9% more cargo in June
For the first seven months of the year, international air cargo demand rose 6.2% year-on-year to 43.962 billion FTK, “although the pace of growth has become more moderate in recent months”, Hong noted.
Available freight capacity for the first seven months of the year also increased 5% to 73.583 billion AFTK, while the average international freight load factor for the period grew 0.6 percentage points to 59.1%.
Passengers drop 1.3%
On the passenger side, Asia Pacific airlines in July 2026 recorded a 1.3% decline in the number of international passengers carried to a combined total of 32.4 million.
AAPA noted that higher air fares continued to weigh on demand among price-sensitive leisure travelers. Regional travel was also affected by further rationalization of network operations in the industry, in response to persistently elevated jet fuel prices and airspace restrictions associated with the Middle East conflict.
Demand remained firm, increasing by 1.1% year-on-year to 119.240 billion revenue passenger kilometers (RPK), buoyed by encouraging growth on longer-haul routes. Available seat capacity edged 0.5% higher to 144.713 billion available seat kilometers, resulting in a 0.5 percentage point increase in the average international passenger load factor to 82.4%.
For the first seven months of the year, Asian airlines carried a combined 225.7 million international passengers, 2.5% more than in the corresponding period last year.
Longer-haul markets in particular saw encouraging growth, supporting the overall increase in passenger demand.
Looking ahead, Hong said underlying demand conditions remain supportive, underpinned by continued growth in regional economies, though momentum has moderated.
“Persistently high fuel prices, together with the weakening of several Asian currencies against the US dollar, continue to add to airline cost pressures, with rising inflationary pressures also weighing on demand. Against this backdrop, carriers continue to align capacity with demand, while retaining the flexibility to respond to changing market conditions,” Hong said.
