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Asia Pacific airlines’ cargo demand grew 12.2% year-on-year in August, according to preliminary figures from the Association of Asia Pacific Airlines
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The latest figure outpaced the 10.4% expansion in offered freight capacity
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The surge in e-commerce demand from manufacturing hubs drove air cargo volumes higher
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Passenger market also grew 21.7% year-on-year in August
Asia Pacific airlines’ air cargo demand grew 12.2% in August, according to preliminary figures from the Association of Asia Pacific Airlines (AAPA).
The latest figure – measured in freight ton kilometers (FTKs) – outpaced the 10.4% expansion in offered freight capacity.
The surge in e-commerce demand from manufacturing hubs drove air cargo volumes higher. This, despite signs of moderation in the broader manufacturing sector.
Because of this, the average international freight load factor rose by 0.9 percentage points to 59.6% for August 2024. It marked the fourth consecutive monthly hike after more than two years in decline.
For the first eight months of the year, “international air cargo demand surged by 15% year-on-year, driven by key factors, including a thriving e-commerce sector. Disruptions in ocean freight logistics also encouraged modal shifts from sea to air, as businesses sought faster and more reliable transport alternatives,” said AAPA director general Subhas Menon.
The outlook for air cargo markets is positive, with businesses replenishing inventories in preparation for the year-end holiday season.
On the negative side, Menon said, “persistent supply chain disruptions continue to pose challenges to the region’s carriers.”
There are expected delays in aircraft deliveries, shortages of spare parts and lack of skilled labor, which have heightened operational pressures, contributing to flight disruptions, thereby increasing costs.
Passenger demand
Preliminary AAPA figures also revealed robust growth in international air passenger demand, even as traffic volumes approached pre-pandemic levels.
On the back of the region’s resilient economic growth, Asia Pacific airlines collectively carried 32.3 million international passengers in August, reflecting a 21.7% year-on-year increase compared to the same month last year. Traffic in the region had nearly resumed to pre-pandemic levels, at 96.1% of 2019 volumes.
Demand in revenue passenger kilometers increased by 20.7% while available seat capacity expanded by 19.7% year-on-year, leading to a 0.7 percentage point increase in the average international passenger load factor to 83.2% for the month.
“During the first eight months of the year, the region’s carriers saw a 36% growth in the number of international passengers carried reaching a total of 240 million, boosted by increased air connectivity and less restrictive visa policies,” Menon said.
He expects travel demand to stay healthy on routes within and across the regions.
READ: Cargo, passenger demand continued strong growth in July
