Subscribe Free
in Air Transport

Middle East carriers see 8% increase in demand for July

Posted 3 September 2018 · Add Comment

The International Air Transport Association (IATA) announced healthy global passenger demand for July with all regions reporting growth.

 

Total revenue passenger kilometers (RPKs) rose 6.2%, compared to the same month last year. While this was down from 8.1% year-over-year growth in June, it nevertheless marked a solid start to the peak passenger demand season. Monthly capacity (available seat kilometers or ASKs) increased by 5.5% and load factor rose 0.6 percentage point to a record high for July of 85.2%.

“The industry posted another month of solid traffic growth. And the record load factor shows that airlines are becoming even more efficient in terms of deploying capacity to meet demand. However, rising costs -- particularly fuel -- will likely limit the stimulus we would expect from lower airfares. Therefore, we do expect to see a continued slowing of growth compared to 2017,” said Alexandre de Juniac, IATA’s Director General and CEO.

Middle East carriers had a 4.8% increase in demand for July, well down on the 11.2% growth recorded for June, although this mainly is attributable to volatility in the data a year ago, rather than any major new developments. The region has been negatively impacted by a number of policy measures over the past 18 months, including the ban on portable electronic devices and travel restrictions. July capacity climbed 6.5% compared to a year ago and load factor dropped 1.3 percentage points to 80.3%. 

International Passenger Markets 

July international passenger demand rose 5.3% compared to July 2017, which was a deceleration compared to the 8.2% growth recorded in June. Total capacity climbed 4.7%, and load factor edged up half a percentage point to 85.0%. All regions reported growth, led by Asia-Pacific for the first time in three months.

Asia-Pacific airlines’ July traffic rose 7.5% over the year-ago period, a slowdown compared to June growth of 9.6%. Capacity increased 6.0% and load factor rose 1.1 percentage points to 82.1%. Growth is being supported by a combination of robust regional economic growth and an increase in route options for travelers.

European carriers posted a 4.4% rise in traffic for July compared to a year ago, down from 7.1% annual growth in June. On a seasonally-adjusted basis, passenger volumes have been tracking sideways for the past three months, reflecting mixed developments on the economic front and possible traffic impacts related to air traffic control strikes across the region. Capacity rose 3.9%, and load factor climbed 0.5 percentage point to 89.1%, highest among the regions. 

North American airlines’ traffic climbed 4.1% compared to July a year ago. This was down from 6.0% growth in June, but still ahead of the 5-year average pace for carriers in the region as strong momentum in the US economy is helping underpin a pick-up in international demand for airlines there. July capacity rose 2.8% with the result that load factor climbed 1.1 percentage points to 87.2%, second highest among the regions.

Latin American airlines experienced a 3.8% rise in traffic in July, the slowest growth among the regions and a decline from 5.6% year-over-year growth in June. Capacity rose 4.6% and load factor slid 0.6 percentage point to 84.2%. Signs of softening demand have come alongside disruption from the general strikes in Brazil.

African airlines’ July traffic rose 6.8%, second highest among the regions. Although this represented a decline from 11.0% growth recorded in June, the seasonally-adjusted trend remains strong. Capacity rose 3.9%, and load factor jumped 2.1 percentage points to 76.0%. Higher oil and commodity prices are supporting economies in a number of countries.

 

* required field

Post a comment

Other Stories
Latest News

Emirates introduces A380 on Riyadh route

Emirates is introducing the first scheduled Airbus A380 service to Riyadh, effective 21 April 2019. Riyadh will be the 51st destination to join the Emirates A380 network.

Rolls-Royce Tay 611-8 engine achieves 10 million flying hours

The Rolls-Royce Tay 611-8 engine, which entered service in 1987, recently reached 10 million flying hours in nearly five million flights.

Airbus will participate at Turkey’s IDEF 2019

Airbus will attend Turkey’s IDEF 2019, 14th International Defence Industry Fair, held in Istanbul from April 30 to May 3.

Export Bahrain partners with Gulf Air Cargo to offer special discounts on cargo exports

Export Bahrain has signed an exclusive partnership with Gulf Air’s Falcon Cargo to provide SMEs in the Kingdom of Bahrain, exporting their goods to the tune of 100 kilograms or above, with special discount of up to 40% on their cargo

Could Al Ain be the UAE’s sleeping superstar?

Al Ain International Airport is poised for growth – cargo is already expanding and the search is on for more passenger traffic, as Alan Dron discovered.

EgyptAir takes delivery of second B787-9 Dreamliner

EgyptAir’s second B787-9 Dreamliner has arrived today at Cairo International Airport. The aircraft is slated to operate flights from Cairo to Frankfurt by April 22nd.

EBACE SK1704230519
See us at
Connect MEIA BT1402010519ACCA19_BT2141218280219