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Asia Pacific airlines saw sustained air cargo demand in January despite lingering economic uncertainties, according to preliminary figures from the Association of Asia Pacific Airlines
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International air cargo demand—as measured in freight tonne kilometres— grew 4.7% on the back of higher demand for consumer goods in anticipation of the Lunar New Year
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The growth follows double-digit gains recorded in January 2024 and a 10.9% y-o-y rise in available freight capacity driven by expanded belly-hold space
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Freight load factor dipped by 3.3 percentage points to 55.2%
Asia Pacific airlines saw sustained air cargo demand in January despite lingering economic uncertainties, according to preliminary figures from the Association of Asia Pacific Airlines (AAPA).
International air cargo demand—as measured in freight tonne kilometres (FTK)— grew 4.7% on the back of higher demand for consumer goods in anticipation of the Lunar New Year, adding to the double-digit growth recorded in January 2024.
Expansion in belly-hold space contributed to a 10.9% rise in offered freight capacity even as average international freight load factor dipped 3.3 percentage points to 55.2% for the month.
Passenger traffic also continued its robust rebound, buoyed by strong leisure travel demand during the festive period. Asia Pacific carriers transported 35.2 million international passengers, marking a 19.9% y-o-y increase.
Revenue passenger kilometers climbed 22.5%, outpacing the 17.4% increase in available seat capacity, resulting in a higher load factor of 83.7%—a 3.5 percentage-point improvement over the previous year.
“The year began on a positive note for Asia Pacific carriers, with both international air passenger and cargo markets posting encouraging growth, underpinned by the timing of the Lunar New Year holidays,” AAPA director general Subhas Menon said.
He noted that while demand remained strong, capacity constraints persisted, partly due to aircraft groundings linked to engine issues and delayed deliveries. These challenges have contributed to an increase in expenditure on maintenance, aircraft leasing, and labor, while greater competition saw to lower yields and operating margins.
Looking ahead, Asia Pacific airlines remain cautiously optimistic, backed by steady global economic growth. However, Menon warned that geopolitical tensions and trade uncertainties could pose risks to both business confidence and consumer spending in the months ahead: “The region’s airlines are closely monitoring developments, whilst carefully managing costs to boost operating economics,” Menon added.
READ: Air cargo, passenger markets post strong growth in 2024 — AAPA
