IATA: Weak air freight demand continues in March 2019

Α Decrease font Enlarge font
IATA: Weak air freight demand continues in March 2019Freight capacity, measured in available freight tonne kilometers (AFTKs), rose by 3.1% year-on-year in March 2019

Geneva - The International Air Transport Association (IATA) released data for global air freight markets showing that demand, measured in freight tonne kilometers (FTKs), increased 0.1% in March 2019, compared to the same period in 2018. While this is a significant improvement on the 4.9% contraction in February, in seasonally adjusted terms, demand is still down 1.5% over the past year.

Freight capacity, measured in available freight tonne kilometers (AFTKs), rose by 3.1% year-on-year in March 2019. Capacity growth has now outstripped demand growth for 11 out of the last 12 months.

  • Demand for air cargo continues to face significant headwinds:
  • Global trade volumes have fallen by 1% over the past year;
  • Global economic activity and consumer confidence continue to weaken;
  • And the export order component of the global manufacturers Purchasing Managers Index (PMI) has indicated falling global export orders since September 2018.

Industry confidence regarding the outlook, however remains relatively upbeat with only 13% of respondents from IATA’s Business Confidence Survey expecting to see a decrease in freight volumes in 2019 compared to 2018.

“Year-on-year demand for air freight edged back into positive territory in March with 0.1% growth. After four consecutive months of contraction, this is an encouraging development. But the headwinds from weakening global trade, growing trade tensions and shrinking order books have not gone away,” said Alexandre de Juniac, IATA's Director General and CEO.

MARCH 2019 (% YEAR-ON-YEAR)WORLD SHARE1FTKAFTKFLF (%-PT)2FLF (LEVEL)3
Total Market 100.0% 0.1% 3.1% -1.5% 49.5%
Africa 1.7% 6.0% 15.2% -3.3% 38.4%
Asia Pacific 36.1% -3.4% -1.0% -1.4% 55.6%
Europe 23.4% 3.6% 6.4% -1.5% 56.0%
Latin America 2.6% 3.6% 16.9% -4.2% 32.3%
Middle East 13.2% 1.3% 3.8% -1.2% 48.8%
North America 23.0% 0.4% 2.6% -0.9% 41.6%

  Regional Performance

All regions reported year-on-year demand growth in March 2019, except Asia-Pacific which contracted.

  • Asia-Pacific airlines saw demand for air freight shrink by 3.4% in March 2019, compared to the same period in 2018. This was a significant improvement from the 12.0% decline in growth from the previous month. Weaker manufacturing conditions for exporters in the region, ongoing trade tensions and a slowing of the Chinese economy impacted the market. Capacity decreased by 1.0%. 
  • North American airlines saw demand increase by 0.4% in March 2019, compared to the same period a year earlier. The recent easing of growth is partly due to a slowing of US domestic economic activity in the later part of 2018 and falling global trade volumes. Despite this, new export orders are rising which would support air cargo growth. Capacity increased by 2.6% over the past year.
  • European airlines posted a 3.6% increase in freight demand in March 2019 compared to the same period a year earlier. Given the weaker manufacturing conditions for exporters in Germany, and uncertainty over Brexit, March’s performance represents a positive outcome. Capacity increased by 6.4% year-on-year.
  • Middle Eastern airlines’ freight volumes increased 1.3% in March 2019 compared to the year-ago period. Capacity increased by 3.8%. A clear downward trend in seasonally-adjusted international air cargo demand is now evident with weakening air freight volumes to/from North America and to/from Asia Pacific contributing to the softer performance.   
  • Latin American airlines experienced an increase in freight demand growth in March 2019 of 3.6% compared to the same period last year and capacity increased by 16.9%. The emergence of the Brazilian economy from recession is supporting a resurgence in air cargo demand. Nevertheless, ongoing economic and political uncertainties in various parts of the region continue to present challenges for the industry.
  • African carriers posted the fastest growth of any region in March 2019, with an increase in demand of 6.0% compared to the same period a year earlier. Seasonally-adjusted international freight volumes are lower than their peak in mid-2017; despite this, they are still around 30% higher than their most recent trough in late-2015. Capacity grew 15.2% year-on-year.

RELATED TOPICS: GreeceGreek tourism newsTourism in GreeceGreek islandsHotels in GreeceTravel to GreeceGreek destinations Greek travel marketGreek tourism statisticsGreek tourism report

Photo Source: Wikimedia Commons License: CC-BY-SA Copyright: Tristar Air.jpg

Tornos
  1. 21/07 20:03

    New Democracy government moving fast to end Campus asylum in Greece

  2. 21/07 19:59

    Halloumi cheese burger at Burger Kings in UK and Sweden

  3. 21/07 19:18

    Exquisite Artemis and Apollo statues unearthed at ancient Roman home excavation in Crete

  4. 21/07 17:45

    ESM chief Regling: The Greek government has made a good start

  5. 21/07 15:39

    New Greek government bill will cut ENFIA property tax by more than 20%

  6. 21/07 13:32

    Minister: National Energy and Climate Plan to be tabled in Greece by end year

  7. 21/07 10:46

    Simplification of procedures and services a bet for new Greek government

  8. 20/07 19:53

    Media report: FaceApp craze sweeps across Greece despite privacy warnings

  9. 20/07 19:52

    Greek authorities enlist Airbnb’s help to tackle tax evasion

  10. 20/07 19:28

    Newly elected Greek PM Mitsotakis to announce immediate tax cuts

  11. 20/07 17:24

    New Minister to support farmers and protect the environment in Greece

  12. 20/07 15:06

    Civil protection chief: Attica quake activity subsides, 'no need for concern'

  13. 20/07 11:37

    Cutlural Tourism: New biography of Eva Palmer Sikelianos

  14. 20/07 09:47

    New government spokesman: Life in Athens back to normal after tremor

  15. 19/07 22:17

    Greek Tourism Ministry issues instructions for visitors to follow in event of earthquake

  16. 19/07 20:54

    120-installment debt repayment scheme set for boost by new Greek government

  17. 19/07 18:37

    Athens city: Most of 15 quake-damaged buildings are abandoned structures

  18. 19/07 18:33

    New Archbishop of Australia makes first pastoral visit to Perth church

  19. 19/07 18:27

    25th Kalamata International Dance Festival opens in Greece on Friday

  20. 19/07 18:08

    ΙΑΤΑ: Poor air traffic control means summer of wasted emissions and delays

  21. 19/07 17:59

    Minister: Research and innovation a 'central strategic priority' now in Greece

  22. 19/07 16:50

    Tourists at the Athens Acropolis react calmly to earthquake

  23. 19/07 14:47

    5.1 R tremor felt in Greek capital of Athens with no major damages reported

  24. 19/07 14:24

    Greek banks to begin charging non-customers more for ATM cash withdrawals

  25. 19/07 13:08

    Cyprus to establish full diplomatic relations with North Macedonia

  26. 19/07 11:08

    New Greek Prime Minister meets with chief of Fairfax investment group

  27. 18/07 22:08

    New Minister greenlights Cosco investments in Greek port of Piraeus with hotels and mall

  28. 18/07 21:54

    Heavily-armed police to monitor tourist spots in Athens

  29. 18/07 21:43

    Guide to ouzo from the Greek island of Chios

  30. 18/07 20:41

    New record in container traffic at Greek port of Piraeus

  31. 18/07 20:29

    Film Tourism: Tom Hanks cast as Elvis’ manager Tom Parker in new movie

  32. 18/07 19:58

    4th EU-Arab World Summit to be held in Athens at the end of October

  33. 18/07 19:43

    New Athens mosque not expected to operate prior to end of 2019

  34. 18/07 19:30

    New parliament president elected in Greece by vast majority

  35. 18/07 18:57

    BoG report: Greek state budget records primary deficit during H1 2019

  36. 18/07 18:52

    New Investments Minister meets with Israeli Ambassador in Greece

  37. 18/07 18:12

    Greek firms promote strategic investment in social responsibility

  38. 18/07 16:50

    Athens to propose Margaritis Schinas as its new EU Commissioner

  39. 18/07 12:10

    Health Tourism: Ministry to sign pacts with medical care partners in Greece

  40. 17/07 22:54

    Greek Orthodox Archbishop Elpidophoros meets with US President

  41. 17/07 22:33

    Greek airports record 5.3% rise in traffic during H1 2019

  42. 17/07 22:08

    US Ambassador to Athens Pyatt: Greece is now a source of solutions

  43. 17/07 21:28

    Kostas Loulis new Secretary-General of Tourism in Greece

  44. 17/07 19:59

    North Macedonia FM: Positive climate in Greece benefits whole region

  45. 17/07 19:15

    Minoan Theater: A reinvestment in excellence and spirit in Greek

  46. 17/07 16:59

    New Greek Prime Minister says Greek bond sale will attract investors

  47. 17/07 15:35

    Friday the last day of traffic restrictions in downtown Athens this summer

  48. 17/07 12:19

    Tourist arrivals to Cyprus drop in June and during first six months of 2019

  49. 17/07 11:53

    Greece's newly elected parliament sworn in on Wednesday (video)

  50. 17/07 10:43

    Newly appointed Greek Foreign Minister Dendias visits the United States

  51. 16/07 22:51

    Parga: The gem of Epirus and the Ionian Sea in Western Greece

  52. 16/07 22:50

    New York Euripides Summer Festival presenting two classic masterpieces

  53. 16/07 22:47

    Grand Resort Lagonissi opens new Grand Hall conference center in Athens

  54. 16/07 22:30

    Tax authorities: Over 20,000 Airbnb Greek properties still not registered

  55. 16/07 22:21

    Classical music festival returns to Greek islands of Koufonisia for 4th year

  56. 16/07 22:15

    E-real estate network chief: AirBnB effect in Athens focuses on inner city district

  57. 16/07 22:08

    Greek-American TV persona Maria Menounos wins on Celebrity Family Feud

  58. 16/07 21:07

    ANIMART festival on Greek island of Hydra from July 22 until July 31

  59. 16/07 20:47

    Jewish communities in Greece welcome Minister's denunciation of neo-Nazi past

  60. 16/07 20:19

    Study: ‘Athens triangle’ becoming Greek capital’s new place to be

  61. 16/07 19:42

    New exhibition titled “Art: Response to Conflict” opens in Athens

  62. 16/07 18:33

    Moody's upgrades outlook for three systemic Greek banks

  63. 16/07 16:15

    Algean Property Ionian Sea Report 2019: "Everlasting Experience"

  64. 16/07 15:56

    3200 hotel CEOs reveal top hospitality and leisure trends for 2019

  65. 16/07 15:18

    Kimisis tis Theotokou Hamptons Greek Festival a great success (video)

  66. 16/07 14:52

    ESM chief: Reform drive of new Greek government to stimulate investments welcome

  67. 16/07 12:37

    Sheraton’s new logo appears on hotels worldwide for first time in over 40 years

  68. 16/07 12:29

    Minister: Seven-year bond yield records return of Greek economy to normality

  69. 16/07 10:20

    TripAdvisor: Online reviews still a trusted source of information when booking trips

  70. 16/07 00:54

    Canal d'Amour: the famous beach of lovers on the Greek island of Corfu

  71. 16/07 00:27

    Greek Public Debt Management Organisation to launch seven-year bond

  72. 15/07 22:25

    EU announces measures against Turkey's illegal drilling in Cyprus' EEZ

  73. 15/07 22:00

    Greek state budget shows primary surplus of €382 million in January-June

  74. 15/07 21:07

    New Greek government to cut ENFIA property tax 30% within two years

  75. 15/07 21:06

    Legendary yacht of Onassis ‘Christina O’ sails into Greek island of Poros

  76. 15/07 18:02

    New Greek Finance Minister Staikouras meets with ESM Director Regling

  77. 15/07 13:07

    Athens Airport awardsTurkish Airlines for remarkable growth rate in last 5 years

  78. 15/07 11:56

    Culinary Tourism: Greek beer thrives from Antiquity to modern microbrews

  79. 14/07 23:28

    Travel & Leisure: Four Greek islands among Europe's top-5 for 2019

  80. 14/07 19:00

    Sports Tourism: Pakistan's street cricketers bring game to life in Greece

  81. 14/07 14:37

    New Greek Development Minister: Hellinikon project will move "very, very quickly"

  82. 14/07 14:29

    Well-known squat of closed Athens hotel abruptly ended after new government elected

  83. 14/07 13:51

    Initiative to invite new Greek PM to address joint session of U.S. Congress

  84. 13/07 20:18

    Opening of “Cyprus: 45 years of occupation” show in Athens

  85. 13/07 19:45

    French Ambassador: France will continue to help Greece in its economic take-off

  86. 13/07 14:50

    Chalkidiki power and water networks to be fully restored by nightfall in northern Greece

  87. 13/07 14:22

    Foods that protect the human skin from the sun

  88. 13/07 13:59

    Meteo services: Weather in Greece to worsen from Saturday evening

  89. 13/07 13:47

    Shops open in Greece on Sunday for first week of summer sales

  90. 12/07 23:48

    Film festival on Greek island of Syros takes cinema to unlikely locations

  91. 12/07 20:13

    Private sector arrears to the Greek state ease slightly down in March

  92. 12/07 17:57

    Acropolis in Athens gains its first permanent doctor

  93. 12/07 17:20

    "Greek Freak" Giannis Antetokounmpo voted Best Male Athlete in the U.S. (video)

  94. 12/07 16:44

    Greek-Swedish Antique special anniversary reunion concert for one night only

  95. 12/07 16:28

    AP: New Greek government recognizes Guaido, not Maduro, as Venezuela’s president

  96. 12/07 15:54

    Paris Hilton spotted on a yacht in Greek island of Mykonos for second year

  97. 12/07 14:17

    New energy minister in Greece to jump-start delayed Helleniko and Skouries projects

  98. 12/07 13:36

    Surf Art Festival Vol. 6 returning to Athens suburb of Faliro on July 12-14

  99. 12/07 00:41

    Greece loses battle over lower taxes for traditional Tsipouro and Tsikoudia drinks

  100. 11/07 21:40

    Festival by "The Friends of the Greek Islands and the Sea" on Sifnos