United States, China, India, Brazil, Japan, and Australia Contribute to Over Two Percent Global Growth in Air Travel with a Over Five Percent Surge in International Passenger Demand

Published on March 31, 2025

The International Air Transport Association (IATA) has reported a 2.6% global growth in air travel for February 2025, driven by strong performance across key markets including the United States, China, India, Brazil, Japan, and Australia. International passenger demand surged by 5.6%, with notable increases in regions like Asia-Pacific, Latin America, and Africa. While domestic markets, particularly in the U.S. and China, faced slight declines, the global recovery remains robust, supported by the increasing demand for international travel and expanding airline capacity in major regions.

Introduction to February 2025 Global Air Passenger Demand

The global air passenger market showed positive growth in February 2025, with total passenger demand rising by 2.6% compared to the same month last year, as reported by the International Air Transport Association (IATA). This growth is measured in revenue passenger kilometers (RPK), which tracks the volume of air travel. Meanwhile, airline capacity, measured in available seat kilometers (ASK), rose by 2.0%, contributing to an overall increase in the global load factor by 0.4 percentage points to 81.1%.

“While traffic growth slowed in February, much of this can be explained by factors including the leap year, and lunar new year falling in January compared to February last year. February traffic hit an all-time high, and the number of scheduled flights is set to continue increasing in March and April. But we need to keep a close eye on developments in North America, which saw falls in both domestic and international traffic,” said Willie Walsh, IATA’s Director General.

“The recent shut-down of Heathrow reminded us once again that the current passenger rights regime in place in Europe and the UK is not fit for purpose. The annual costs of compensation, care and assistance run into the billions. Thankfully, the Polish Presidency of the EU has recognized that this is a drag on European competitiveness and is progressing much-needed and long-anticipated reforms to EU261. While many of the proposed reforms are sensible, the package stops short of a real solution. Even with the reforms, EU261 will still target the airlines with penalties even if the root cause of delays is an infrastructure incident out of their control—like we saw at Heathrow. Over two decades of EU261 have not seen a reduction in delays because infrastructure providers have no incentive to improve their game. Sadly for European travelers, we are likely to see this play out again in this summer’s peak travel season. Genuine reform of EU261 must ensure that all parties responsible for delays have a stake in the consequences,” said Walsh.

Regional Breakdown of Air Passenger Demand

The February 2025 data reveals that international air travel growth remained strong across various regions, even as domestic air travel faced some challenges. Let’s take a closer look at the growth in international and domestic markets.

International Markets

International air traffic grew by 5.6% compared to February 2024, continuing to show positive recovery trends for the global aviation industry. Capacity in international markets increased by 4.5%, while the load factor improved by 0.9 percentage points, reaching 80.2%.

Asia-Pacific Region

The Asia-Pacific region led the charge in international air traffic, with a solid 9.5% year-on-year increase in passenger demand. Airlines in the region continued to benefit from recovering demand, particularly in the long-haul markets. Capacity growth in Asia-Pacific was also notable, increasing by 8.3%, which led to a load factor of 85.7%, improving by 0.9 percentage points compared to the same period last year.

European Market

European airlines reported a 5.7% increase in international passenger demand, reflecting continued recovery in both leisure and business travel segments. While capacity increased by 4.9%, the load factor stood at 75.5%, up by 0.5 percentage points compared to February 2024. This region has been witnessing steady growth in travel, driven by strong demand across various intra-European and intercontinental routes.

Middle East Airlines

Middle Eastern carriers experienced a modest but consistent growth of 3.1% in international passenger demand. Airlines in this region are maintaining capacity levels that increased by 1.3%, which led to an improved load factor of 81.9%, up by 1.4 percentage points from February 2024. The Middle East continues to play a significant role in connecting East and West, with many major international routes originating from this region.

North American Airlines

North American carriers faced a slight decline in demand, with a 1.5% decrease in year-on-year international passenger traffic. This decline was partially offset by a reduction in capacity, which fell by 3.2%. However, the load factor improved by 1.3 percentage points to 78.9%. This market’s weaker performance can be attributed to various factors, including economic uncertainties and shifting travel patterns due to changing consumer preferences.

Latin American Airlines

Latin American airlines showed the strongest growth in international passenger demand, with a significant 6.7% increase compared to February 2024. Capacity in the region rose by 9.9%, although the load factor dipped slightly to 81.7%, down by 2.5 percentage points. The increase in demand was attributed to the growth of trade and tourism in the region, as well as the restoration of flight networks across key destinations.

African Airlines

African carriers also saw strong international growth, with a 6.7% rise in passenger demand. The capacity increase was more modest, at 4.0%, but the region’s load factor rose by 2.0 percentage points to 75.3%. This growth is a positive signal for African aviation, as the region’s airlines continue to recover after the pandemic.

Domestic Air Passenger Markets: A Mixed Picture

While international air traffic continues to see healthy growth, domestic markets exhibited more mixed results in February 2025. Domestic passenger demand fell by 1.9% compared to February 2024, with a slight decline in capacity (down by 1.7%). However, the domestic load factor remained stable at 82.6%, although it decreased by 0.2 percentage points year-on-year.

Domestic Trends by Region

United States

The United States domestic market saw a decline of 4.2% in passenger demand, which was one of the largest drops among major domestic markets. The decline may be attributed to the ongoing economic slowdown and reduced consumer confidence, particularly after the holiday season. Additionally, there were fewer major events attracting domestic travelers, resulting in a reduction in air traffic. Capacity decreased by 1.2%, while the load factor increased by 1.3 percentage points to 78.7%.

China

In China, domestic air travel demand fell by 3.2%, largely due to the timing of the Lunar New Year, which occurred in January 2025 rather than February as it did in 2024. This shift in travel patterns impacted air traffic, as many Chinese travelers typically plan their vacations around this period. Capacity in the region decreased by 4.5%, with the domestic load factor improving by 1.2 percentage points to 86.2%.

India

India’s domestic air passenger demand continued its strong performance, with a notable 13.2% increase in traffic compared to February 2024. This growth was driven by the nation’s robust economic recovery, increasing domestic tourism, and expanding air connectivity between cities. Capacity grew by 11.4%, and the load factor hit a remarkable 90.3%, up by 1.4 percentage points.

Brazil

In Brazil, domestic air travel grew by 8.0%, reflecting a positive outlook for the Latin American aviation market. Brazilian airlines added more capacity, which led to a 4.1% rise in available seat kilometers. The load factor increased by 2.9 percentage points to 80.3%. The ongoing economic recovery and government support for the aviation sector contributed to this growth.

Japan

Japan’s domestic air market saw a 5.8% increase in demand. Despite this, capacity in the region decreased by 1.2%, which contributed to an improvement in the load factor, which rose by 5.5 percentage points to 83.9%. This growth came as Japan’s tourism sector gradually recovered, bolstered by international tourists returning to the region.

Australia

Australia’s domestic market faced a decline in air passenger demand, with a 3.8% fall in RPK compared to February 2024. Capacity also decreased by 5.5%, and the load factor remained at 74.3%. The Australian market has faced a mix of challenges, including high inflation and domestic economic uncertainties, which likely contributed to the decrease in travel.

IATA reported a 2.6% global growth in air travel for February 2025, driven by a 5.6% surge in international passenger demand, with key contributions from the U.S., China, India, Brazil, Japan, and Australia.

Conclusion: Positive Outlook Despite Regional Challenges

In February 2025, global air passenger demand exhibited overall growth, with international markets showing encouraging signs of recovery. While the domestic markets in some countries faced setbacks, the continuing strength of international travel, particularly in Asia, Latin America, and Africa, is a promising sign for the aviation industry. As we progress through 2025, further improvements in global passenger traffic are expected, especially as airlines optimize their capacities and travel demand remains resilient in key regions.