TOTAL demand for air cargo rose by 13.6 per cent year on year in July, which marks the eighth-straight month of double-digit annual growth, according to the International Air Transport Association (IATA).
Demand is showing strength from month to month as well, with seasonally adjusted global cargo tonne-kilometres (CTKs) growing by one per cent over June.
This expansion led to the highest level of industry CTKs since the record-breaking demand achieved at several points throughout 2021. At the time, air cargo demand jumped 18.7 per cent from 2020 levels, which was the second-biggest annual demand improvement tracked by the iata behind 2010's 20.6 per cent gain.
'Air cargo demand hit record highs year-to-date in July with strong growth across all regions,' said Willie Walsh, IATA's director general. 'With the peak season still to come, it is shaping to be a very strong year for air cargo. And airlines have proven adept at navigating political and economic uncertainties to flexibly meet emerging demand trends.'
International routes surged 14.3 per cent year on year, pushing up global traffic levels.
Airlines registered in Asia Pacific, the Middle East, and Europe delivered the highest annual growth rates in international CTK, registering 17.7 percent, 14.7 per cent and 13.9 per cent increases, respectively. Carriers from Asia Pacific and Europe have been strong throughout the year, contributing 44 per cent and 22 per cent to the global surge in CTKs from April through June.
The IATA did note that the strong year-on-year growth rates have benefited from an overall weak 2023 market, when cargo volumes were down because cautious wholesalers and retailers decided to draw down inventory before making new orders.
With that in mind, the air freight ecosystem has been impacted by various factors worldwide. Mr Walsh said that the air cargo business 'continues to benefit from growth in global trade, booming e-commerce and capacity constraints on maritime shipping,' referring to the rise of overseas players like Shein and Temu and the ongoing rerouting of ships away from the Red Sea. The AITA's market analysis said the capacity constraints favour a partial modal shift from sea to air.
This shift could continue, and more capacity should be gobbled up, as the holiday season gets closer and shippers share concerns about late shipments.
SeaNews Turkey
Demand is showing strength from month to month as well, with seasonally adjusted global cargo tonne-kilometres (CTKs) growing by one per cent over June.
This expansion led to the highest level of industry CTKs since the record-breaking demand achieved at several points throughout 2021. At the time, air cargo demand jumped 18.7 per cent from 2020 levels, which was the second-biggest annual demand improvement tracked by the iata behind 2010's 20.6 per cent gain.
'Air cargo demand hit record highs year-to-date in July with strong growth across all regions,' said Willie Walsh, IATA's director general. 'With the peak season still to come, it is shaping to be a very strong year for air cargo. And airlines have proven adept at navigating political and economic uncertainties to flexibly meet emerging demand trends.'
International routes surged 14.3 per cent year on year, pushing up global traffic levels.
Airlines registered in Asia Pacific, the Middle East, and Europe delivered the highest annual growth rates in international CTK, registering 17.7 percent, 14.7 per cent and 13.9 per cent increases, respectively. Carriers from Asia Pacific and Europe have been strong throughout the year, contributing 44 per cent and 22 per cent to the global surge in CTKs from April through June.
The IATA did note that the strong year-on-year growth rates have benefited from an overall weak 2023 market, when cargo volumes were down because cautious wholesalers and retailers decided to draw down inventory before making new orders.
With that in mind, the air freight ecosystem has been impacted by various factors worldwide. Mr Walsh said that the air cargo business 'continues to benefit from growth in global trade, booming e-commerce and capacity constraints on maritime shipping,' referring to the rise of overseas players like Shein and Temu and the ongoing rerouting of ships away from the Red Sea. The AITA's market analysis said the capacity constraints favour a partial modal shift from sea to air.
This shift could continue, and more capacity should be gobbled up, as the holiday season gets closer and shippers share concerns about late shipments.
SeaNews Turkey
