- Global air cargo markets showed continuous strong annual growth in demand for October 2024, according to data from the International Air Transport Association
- In terms of cargo ton kilometers, total demand rose 9.8% compared to October last year
- This marked the 15th consecutive month of growth for the worldwide air cargo market
Global air cargo markets showed continuous strong annual growth in demand for October 2024, according to latest data from the International Air Transport Association (IATA).
In terms of cargo ton kilometers, total demand rose 9.8% compared to October, last year. This was the 15th consecutive month of growth for the worldwide air cargo market.
In terms of available cargo ton kilometers, the hike in October this year was 5.9% more compared to October 2023, largely driven by the 8.5% rise in international belly capacity.
For the seventh consecutive month, dedicated freighter capacity grew, at 5.6% in volume which approximated the 2021 peak levels.
Willie Walsh, IATA director general, said air cargo markets remained strong in October this year as “global air cargo yields continue to rise, up 10.6% on 2023 and 49% on 2019 levels.”
And while 2024 is shaping up to be a banner year, Walsh warned that “we must look to 2025 with some caution.”
The incoming Trump administration’s plan to impose significant tariffs on its top trading partners – Canada, China, and Mexico – “has the potential to upend global supply chains and undermine consumer spending,” said Walsh.
The global air cargo industry’s adaptability to quickly evolving geopolitical and economic situations is likely to be tested by the Trump administration, he added.
IATA said there are factors in the operating environment that must be noted.
For one, while year-on-year industrial production rose 1.6% in September and global goods trade rose by 2.4% for a sixth consecutive month, the rise in trade is partly due to businesses stockpiling inventory ahead of potential disruptions such as the recent US port strike.
Also, while the Purchasing Managers Index showed a global rebound in manufacturing in October – with output passing the 50-mark, the PMI for new export orders stayed below the 50-mark. This suggests there remains uncertainty and weakness in global trade.
US headline inflation, meanwhile, ended its six-month decline, rising by 0.17 percentage points to 2.58% in October based on the annual Consumer Price Index.
Air cargo demand varied from region to region, with Asia Pacific airlines experiencing a 13.4% year-on-year demand growth, and capacity rising by 9.3%.
North American carriers saw a 9.5% rise in demand for air cargo in October, while capacity rose by 5.8% year-on-year.
European carriers year-on-year demand growth for air cargo was pegged at 7.6%, with capacity up 3.9%.
Middle Eastern carriers had 4.5% year-on-year demand growth, with capacity hike of 0.8%. Latin American carriers saw 18.5% demand growth for air cargo in October, year-on-year, while capacity was up 5.8%. African airlines only had 1.6% demand growth – slowest among regions – while capacity rose 7.7% year-on-year.
Global routes saw exceptional traffic levels for the fifth consecutive month, rising 10.3% year-on-year. Airlines are benefitting from heightened e-commerce demand in Europe and the US, amid ongoing capacity limits in ocean shipping, according to IATA.
READ: Air cargo rises 9.4% in Sept, says IATA
