Global air freight demand rose 6.8 percent for the month, outstripping capacity growth for the 19th straight month, according to the latest data from the International Air Transport Association (IATA).
Global air cargo volumes climbed 6.8 percent in February 2018 compared with the same month the previous year, according to the latest data from the International Air Transport Association (IATA).
Through the first two months of the year, airfreight volumes are up 7.7 percent compared with same 2017 period.
IATA noted that demand growth has now outpaced that of capacity for the 19th straight month, as available freight ton kilometers increased 5.6 percent year-over-year in February.
Despite the sustained growth in volumes, there are “signs that the best of the upturn for airfreight has passed,” the association said, noting that the seasonally adjusted annual growth rate for cargo demand stands at 3 percent after rising to a double-digit rate for much of last year.
In addition, IATA Director General and CEO Alexandre de Juniac said the growing tension between the United States and its trading partners caused by the threat of widespread tariffs on U.S. imports could further dampen growth.
“Demand for air cargo continues to be strong with 6.8 percent growth in February,” he said. “The positive outlook for the rest of 2018, however, faces some potentially strong headwinds, including escalation of protectionist measures into a full-blown trade war. Prosperity grows when borders are open to people and to trade, and we are all held back when they are not.”
Broken down by geographical region, each of the areas tracked by IATA recorded increases in volumes compared with the previous February.
Air freight volumes carried by Asia Pacific airlines grew 6.5 percent year-over-year for the month, while capacity ticked up 2.2 percent. IATA noted, however, that because the region accounts for roughly 37 percent of all global air cargo shipments, “the risks from protectionist measures impacting the region are disproportionately high.”
European airlines saw freight volumes rise 5.7 percent, the slowest rate of all the regions tracked by IATA, while capacity increased 3.8 percent.
North American carrier shipments and capacity increased 7.3 percent and 4.1 percent, respectively, in February, as U.S. import growth slowed.
“The weakening of the U.S. dollar over the past year has helped boost demand for air exports,” IATA explained. “Data from the U.S. Census Bureau shows a 10.2 percent year-on-year increase in air export volumes from the U.S. in January 2018, compared to a slower rise in imports of 6.7 percent.”
Cargo volumes carried by Middle Eastern airlines climbed 7.4 percent year-over-year in February, while Latin American airfreight carriers saw an 8.7 percent boost in monthly volumes and African airlines saw shipments soar 15.9 percent from the same month a year ago. Middle Eastern, Latin American and African air freight carriers grew capacity 7.6 percent, 6.9 percent and 3.9 percent, respectively, according to IATA.
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