The international Air Transport Association (IATA) has shared data for global air freight markets showing that this year’s performance was the worst compared to previous years with 1.8% decrease in January 2019.
The demand for air cargo faces the same shortcomings as global economic activity and consumer confidence have weakened. The purchasing managers index (PMI) for manufacturing and export orders has also shown falling exports orders since September.
“Air cargo markets contracted in January. This is a worsening of a weakening trend that started in mid-2018. Unless protectionist measures and trade tensions diminish there is little prospect of a quick re-bound,” said Alexandre de Juniac, IATA’s Director General and CEO.
Regionally, statistics have it that only two regions reported year-on-year demand growth in January 2019 which is North America and Africa. Airlines in the Asia-Pacific region saw a decrease in demand of 3.65% for air freight in January; airlines in North America saw a 3.3% increase in demand and capacity increased by 5.0% making it the fastest growth of any region for the eight consecutive month in January 2019; middle Eastern airlines freight volumes dropped by 4.5% in January 2019 with 4.1% increase in capacity; African carriers had 1.0% increase in January 2019 with 8.2 % in capacity year-on-year.
It is expected that the opportunities and challenges faced by the air cargo industry will be tabled during the 13th World Cargo Symposium, which will bring together the air cargo industry from March 12-14 in Singapore.