Subscribe Free
in General Aviation

Middle Eastern airlines' freight volumes decreased 7.0% in June

Posted 7 August 2019 · Add Comment

The International Air Transport Association (IATA) released data for global air freight markets showing that demand, measured in freight tonne kilometers (FTKs), decreased by 4.8% in June 2019, compared to the same period in 2018. This marks the eighth consecutive month of year-on-year decline in freight volumes.

 

Signs of a modest recovery in recent months appear to have been premature, with the June contraction broad-based across all regions with the exception of Africa. Capacity growth remains subdued and the cargo load factor continues to fall. Globally, trade growth is languishing, and business uncertainty is compounded by the latest tariff increases in the US-China trade dispute.

"Global trade continues to suffer as trade tensions—particularly between the US and China—deepen. As a result, air cargo markets continue to contract. Nobody wins a trade war. Borders that are open to trade spread sustained prosperity. That's what our political leaders must focus on," said Alexandre de Juniac, IATA's Director General and CEO.

Middle Eastern airlines' freight volumes decreased 7.0% in June 2019 compared to the year-ago period. Capacity increased by 2.7%. Seasonally-adjusted demand has been falling since late 2018, and the latest data show volumes to Europe (-7.2%) and Asia-Pacific (-6.5%) were particularly weak.    

Other regional performance 

African carriers were the only ones to report growth in June 2019, with an increase in demand of 3.8% compared to the same period a year earlier. This makes Africa the strongest performer for the fourth consecutive month. Capacity grew 16.6%. Route analysis shows that the Africa-Asia performance is strong—up 12% year-on-year. 

Asia-Pacific airlines saw demand for air freight contract by 5.4% in June 2019, compared to the same period in 2018. Although an important factor, the US-China trade war is not solely responsible for the fall. FTKs for the within-Asia market have decreased more than 10% over the past year. Air freight capacity increased by 1.8% over the same period.   

North American airlines' freight demand decreased by 4.6% in June 2019, compared to the same period a year earlier. Capacity increased by 1.9% over the past year. US-China trade tensions are weighing on the performance, with FTKs to Asia down 5%. FTKs on routes to/from Europe, South America and Middle East were also lower. 

European airlines posted a 3.6% decrease in freight demand in June 2019 compared to the same period a year earlier. Comparatively strong cargo volumes within Europe are helping to minimise the impact of weaker German exports. Capacity increased by 2.8% year-on-year

Latin American airlines experienced a decrease in freight demand in June 2019 of 1.0% compared to the same period last year and capacity increased by 4.6%. Much of the decline in traffic can be attributed to weakness in the within-South America market (especially Brazil and Argentina) where FTKs fell 6.5%. 

 

 

   

 

 

* required field

Post a comment

Other Stories
Advertisement
Latest News

MEBAA chairman says '2020 is the year for business aviation'

2020 will be a good year for business aviation in the MENA region, according to Ali Alnaqbi, founding and executive chairman of the Middle East and North Africa Business Aviation Association (MEBAA).

Dnata awarded IATA’s ISAGO registration in Brazil

The International Air Transport Association (IATA) has awarded Dnata Brazil the IATA Safety Audit for Ground Operations (ISAGO) Registration, following the successful completion of a comprehensive audit of the company and its

Qatar and Rwanda cement new airport hub deal

The deal between Qatar Airways and Rwanda for the new $1.3 billion international airport near Kigali has been officially signed.

Emirates to launch flights to Dhaka in March 2020

Emirates is now set to launch its fourth daily service to Dhaka from 29 March 2020 instead of 1 June 2020, as announced earlier.

Emirates takes off to Mexico City

Emirates has taken off to Mexico City, marking the airline's first passenger flight to Mexico.

Gulf Air expands international sales with APG

Gulf Air has signed up with APG to benefit from their latest ticketing solution APG IET being a worldwide solution for airlines wishing to develop their global sales by interlining.

TAA SK0907311219
See us at
SaudiAirshow21SK2011180221AVAFA20BT2607050320Sofex BT2611020420AVMENA20 BT1309100620