THE world air cargo market continues to lose altitude due to economic slowdown and supply chain dislocations, declining eight per cent in May, reports New York's FreightWaves.
Demand for air cargo service was also eight per cent lower than in May 2019, before the Covid crisis, according to Clive Data Services.
Meanwhile, available capacity increased four per cent from the year prior but remains at a 12 per cent deficit compared to 2019.
The change in supply and demand resulted in substantially lower aircraft utilisation, as average load factor dropped to 60 per cent.
Rates in May were still 16 per cent greater than in 2021 and 134 per cent above 2019, but 10 points less than in April.
Meanwhile, the number of widebody aircraft has added a large amount of capacity in a short period of time.
May capacity was 82 per cent higher than in 2021, up from 44 per cent in March.
'The Atlantic market is interesting to follow to see how rates shift in the coming months, as it might be a bellwether on how other markets will develop when the capacity of passenger flights returns to its former level and beyond,' said Clive founder Niall van de Wouw.
SeaNews Turkey
Demand for air cargo service was also eight per cent lower than in May 2019, before the Covid crisis, according to Clive Data Services.
Meanwhile, available capacity increased four per cent from the year prior but remains at a 12 per cent deficit compared to 2019.
The change in supply and demand resulted in substantially lower aircraft utilisation, as average load factor dropped to 60 per cent.
Rates in May were still 16 per cent greater than in 2021 and 134 per cent above 2019, but 10 points less than in April.
Meanwhile, the number of widebody aircraft has added a large amount of capacity in a short period of time.
May capacity was 82 per cent higher than in 2021, up from 44 per cent in March.
'The Atlantic market is interesting to follow to see how rates shift in the coming months, as it might be a bellwether on how other markets will develop when the capacity of passenger flights returns to its former level and beyond,' said Clive founder Niall van de Wouw.
SeaNews Turkey
