New data shows the decline in air cargo business slowed in August, raising hopes the pre-holiday season will be busier than expected, says New York's FreightWaves.
The air freight market last month contracted five per cent year on year, and four per cent compared to pre-pandemic levels, and shipping rates continued to float downward, following demand drops of eight per cent in June and nine per cent in July, according to Xeneta, a rate benchmarking agency.
The downturn in air cargo began five months ago, following Russia's invasion of Ukraine.
The change in August cargo numbers can partly be explained by the new parity of the strong dollar with the euro boosting demand from Europe to North America, said Xeneta CEO Niall van de Wouw.
WorldACD, another provider of air freight data, reported that worldwide tonnage during the past two weeks is slightly above their levels in mid-August, suggesting a possible stabilisation of demand - below last year's elevated levels. Year on year, the market is nine per cent smaller, it said.
Lagging data on Wednesday from the International Air Transport Association (IATA), which waits for member airlines to report monthly traffic figures and uses a different methodology, confirmed July's pullback. The trade association said demand fell 9.7 per cent - more than the 6.7 per cent negative growth in June - and that international volume was down 10.2 per cent versus 2021. Compared to pre-pandemic 2019, cargo throughput shrank 3.5 per cent.
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The air freight market last month contracted five per cent year on year, and four per cent compared to pre-pandemic levels, and shipping rates continued to float downward, following demand drops of eight per cent in June and nine per cent in July, according to Xeneta, a rate benchmarking agency.
The downturn in air cargo began five months ago, following Russia's invasion of Ukraine.
The change in August cargo numbers can partly be explained by the new parity of the strong dollar with the euro boosting demand from Europe to North America, said Xeneta CEO Niall van de Wouw.
WorldACD, another provider of air freight data, reported that worldwide tonnage during the past two weeks is slightly above their levels in mid-August, suggesting a possible stabilisation of demand - below last year's elevated levels. Year on year, the market is nine per cent smaller, it said.
Lagging data on Wednesday from the International Air Transport Association (IATA), which waits for member airlines to report monthly traffic figures and uses a different methodology, confirmed July's pullback. The trade association said demand fell 9.7 per cent - more than the 6.7 per cent negative growth in June - and that international volume was down 10.2 per cent versus 2021. Compared to pre-pandemic 2019, cargo throughput shrank 3.5 per cent.
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