Growth in air cargo demand fastest in 18 months

Data released by the International Air Transport Association (IATA) has revealed that October saw the fastest growth in air cargo demand in 18 months, rising 8.2% year-on-year as measured in freight tonne kilometres (FTKs).

Capacity, which is measured in available freight tonne kilometres (AFTKs), also saw a rise of 3.6%.

Alexandre de Juniac, the Director General and CEO of IATA, sounded cautiously optimistic in his assessment. “Global air freight markets look set to end 2016 on a high note,” he said; however, “It remains to be seen how long this growth trend will endure after the year-end peak period and we still face headwinds from weak global trade.”

Factors affecting October growth may have included the collapse of the Hanjin Shipping Company, causing some reliance on air transport alternatives by shippers; growing trade in pharmaceuticals; and preparations in the run-up to Black Friday and Cyber Monday.

European airlines saw the biggest increase of 13.4% year on year, followed by 9.2% in the Middle East, 7.8% in Asia Pacific, 7.4% in Africa, and 3.7% in North America. Latin America was the only region that did not experience growth, with demand falling 0.1%.

(Source: Global Trade)