IATA reports 8.3% surge in November air cargo demand
Tuesday, January 9, 2024
Favorite
The November 2023 data from the International Air Transport Association (IATA) revealed the most robust year-on-year growth in global air cargo markets in approximately two years. This surge is partly attributed to the weakness observed in November 2022 and signifies the fourth consecutive month of increasing demand for air cargo.
Measured in cargo tonne-kilometres (CTKs), the global demand for air cargo showed an 8.3% increase compared to November 2022, with international operations experiencing an 8.1% growth.
Capacity, gauged in available cargo tonne-kilometres (ACTKs), rose by 13.7% compared to November 2022 (11.6% for international operations). The majority of this capacity expansion is due to the rise in belly capacity as international passenger markets continue their recovery post-COVID.
In comparison to November 2019 (pre-COVID-19), demand has decreased by 2.5%, while capacity has increased by 4.1%.
Key indicators include:
- The Purchasing Managers Indexes (PMIs) for manufacturing output and new export orders, leading indicators of global air cargo demand, remained just below the 50-mark in November. Small positive movements indicate a slowdown in the economic deceleration.
- Global cross-border trade showed growth for the third consecutive month in October, reversing its previous downward trend.
- Inflation in major advanced economies softened in November, measured by the corresponding Consumer Price Index (CPI), hovering around 3% year-on-year for the United States, Japan, and the EU. Meanwhile, China experienced negative annual growth in its CPI for the second consecutive time.
- Air cargo yields, including surcharges, continued their significant upward trend (+8.9% since October), aligning with improving air cargo load factors, possibly influenced by booming e-commerce deliveries from China to western markets.
Willie Walsh, the Director General of the International Air Transport Association (IATA), commented, “The demand for air cargo in November surged by 8.3% compared to 2022, marking the most robust year-on-year growth in nearly two years. This represents a twofold increase from October’s 3.8% rise and signifies four consecutive months of positive market advancement. Despite the notable economic concerns persisting in 2023 and looming on the horizon, the conclusion of the year is shaping up to be optimistic for the air cargo industry.”
Detailed regional performance for November 2023:
- Asia-Pacific airlines experienced a 13.8% increase in air cargo volumes, significantly surpassing the previous month’s growth of 7.6%. Capacity for the region increased by 29.6% compared to November 2022.
- North American carriers saw a 1.8% increase in demand for cargo volumes in November, a notable improvement from October’s -1.8% contraction. Capacity increased by 4.0% compared to November 2022.
- European carriers witnessed a 6.7% increase in air cargo volumes in November, outperforming the previous month’s 1.0%. Capacity increased by 6.5% compared to November 2022.
- Middle Eastern carriers achieved the strongest performance in November 2023, with a 13.5% year-on-year increase in cargo volumes. Capacity increased by 15.4% compared to November 2022.
- Latin American carriers experienced a 4.2% increase in cargo volumes, similar to the 4.0% year-on-year increase recorded for October. Capacity in November was up by 7.7% compared to the same month in 2022.
- African airlines saw a 3.9% increase in air cargo volumes in November 2023, a slight improvement compared to October’s +2.9% growth performance. Capacity was 14.0% above November 2022 levels.
« Back to Page
