Latin American airlines recorded a 2.6% decrease in cargo demand last October compared to the same month in 2018, according to a report report released this Wednesday (04.12.2019) by the International Air Transport Association (IATA).
The report attributes the decline to “several social and economic headwinds in key economies in the region, which have impacted air cargo performance, although capacity offered increased by 2,3% year-on-year.”
Globally, there was also a decline, as demand, measured in freight tonne kilometres (FTK), fell by 3,5%. compared to the same month in 2018, marking a weak start to the traditional peak season for air cargo, and the twelfth consecutive month of year-over-year declines in cargo volumes.
Offered cargo capacity, measured in available freight tonnes (AFTK), increased 2,2% year-on-year and therefore capacity growth outpaced demand growth for the 18th consecutive month.
Over the past year, air cargo has suffered from the effects of the trade war between the United States and China, the deterioration of global trade and a general slowdown in economic growth.
«The peak air cargo season has had a disappointing start, with demand down 3,5% in October. Overall, demand will decline in 2019, weakest annual result since the global financial crisis.It has been a very tough year for the air cargo industry., said Alexandre de Juniac, IATA's director general and CEO.
All regions recorded varying rates of decline, with the exception of African companies, which saw demand growth of 12,6% year-on-year, driven by strong trade and investment ties with Asia.
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