Dubai PR Network, Online Press Release from Dubai and Middle East
 
Aviation, Airline & Aerospace(Travel & Tourism)
Filter PR by
  
Air Freight Demand Down 1.1% in November 2019
 

08 January 2020 (Geneva) - The International Air Transport Association (IATA) released data for global air freight markets showing that demand, measured in freight tonne kilometers (FTKs), decreased by 1.1% in November 2019, compared to the same period in 2018. This marks the thirteenth consecutive month of year-on-year declines in freight volumes. 

Despite the decline in demand, November’s performance was the best in eight months, with the slowest year-on-year rate of contraction recorded since March 2019. In part, November’s outcome reflects the growing importance of large e-commerce events such as Singles Day and Black Friday.  

While international e-commerce continues to grow, overall air cargo demand continued to face headwinds from the effects of the trade war between the US and China, the deterioration in world trade, and a broad-based slowing in global economic growth.
Freight capacity, measured in available freight tonne kilometers (AFTKs), rose by 2.9% year-on-year in November 2019. Capacity growth has now outstripped demand growth for the 19th consecutive month. 

“Air cargo recovered slightly in November, with demand down 1.1% - a significant improvement over the 3.5% decrease in October. However, the fourth quarter is a peak season for air cargo. So, a decline in growth is still a disappointment. Looking forward, signs of a thawing in US-China trade tensions are good news but there is still a long way to go if cargo is to achieve 2.0% growth forecast in 2020,” said Alexandre de Juniac, IATA’s Director General and CEO.

Regional Performance

Airlines in Asia-Pacific, Latin America and the Middle East suffered sharp declines in year-on-year growth in total air freight volumes in November 2019, while North American carriers experienced a more moderate decline. Europe and Africa were the only regions to record growth in air freight demand compared to November last year. 

Asia-Pacific airlines saw demand for air freight contract by 3.7% in November 2019, compared to the same period in 2018. This was the sharpest drop in freight demand of any region for the month.  Capacity increased by 1.8%. The US-China trade war has significantly affected the region, with demand on the large Asia - North America market down 6.5% year-on-year in October (latest available data). However, the thawing of US-China trade relations and robust economic growth in key regional economies are positive developments. 

North American airlines saw demand decrease by 1.1% in November 2019, compared to the same period a year earlier. Capacity increased by 3.3%. Slower growth in the US economy and trade tensions with China have affected demand.  However, positive progress in trade negotiations between both countries highlighted by the ‘phase one’ deal is a positive development. 

European airlines posted a 2.6% increase in freight demand in November 2019 compared to the same period a year earlier.  Better than expected economic activity in Q3 in some of the region’s large economies helped support demand. Capacity increased by 4.0% year-on-year. 

Middle Eastern airlines’ freight volumes decreased 3.0% in November 2019 compared to the year-ago period – a significant improvement over the 5.7% decrease in October. Capacity increased by 2.6%. Against a backdrop of operational and geopolitical challenges facing some of the region’s key airlines, seasonally adjusted freight volumes in the region have continued a modest upwards trend which is a positive development for the region’s carriers. However, escalated geopolitical tensions threaten the regions’ carriers in the period ahead.  

Latin American airlines experienced a decrease in freight demand in November 2019 of 3.4% compared to the same period last year.  Various social and economic headwinds in the region’s key economies have impacted the region’s air cargo performance. Capacity decreased by 2.3% year-on-year.

African carriers posted the fastest growth of any region in November 2019, with an increase in demand of 19.8% compared to the same period a year earlier. Strong trade and investment links with Asia contributed to the positive performance. Capacity grew 13.7% year-on-year.


Posted by : Dubai PR Network Editorial Team
Viewed 6387 times
PR Category : Travel & Tourism
Posted on : Wednesday, January 8, 2020  2:56:00 PM UAE local time (GMT+4)
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of DubaiPRNetwork.com.
Previous Story : Etihad Guest Programme Welcomes Gulf Air as New Airline Part...
Next Story : ETIHAD AIRWAYS STATEMENT ON AUSTRALIAN BUSHFIRES
Email this article Print this article

Share this article with your friends and followers
NewsVine
Back to Section Home

Related Stories



 
 
Most Viewed Press Release posted in the last 7 days
Cutting-Edge Technology Solutions from TP-Link for Work at Home or Distance Learning [6204-Views]
Isolation Survival Guide [5813-Views]
"Stay Home" Instagram Sticker Launches in the UAE [5600-Views]
Marks & Spencer Introduces Its Cosy Loungewear Collection for Men [5325-Views]
Huawei Mobile Services To Explore The Ultimate Potential On HUAWEI P40 Series [5307-Views]
Winnie Harlow x Steve Madden Collection [5032-Views]
Etisalat Cloudtalk Meeting Now Allows Up to 50 Participants [4959-Views]
SCCI Provides Online Attestation Services for All Transactions [4563-Views]
Dubai Cares Joins UNESCO's Global Education Coalition to Provide a Unified Response to the... [4362-Views]
Airbus to Produce 3D-Printed Hospital Visors in Fight Against Covid-19 [4325-Views]
Tonda 1950 Double Rainbow Flying Tourbillon [4221-Views]
Parmigiani Fleurier Tondagraph Slate [4172-Views]
Top Personal Trainer Thanks Dubai Sports Council for “Be Fit, Be Safe” Campaign [4130-Views]
Innovation Platform GELLIFY Forays into the Middle East [4069-Views]
Trade Bank of Iraq Announces Capital Increase to USD 3 Billion Under New Three Year Strate... [3886-Views]
Brighten Up With KARL LAGERFELD [3880-Views]
Majority of UAE Residents Know How to Contain COVID-19, Confirms Kantar Study [3861-Views]
Make the Holy Month of Ramadan More Festive This Year With Our Exclusive Corporate Collect... [3709-Views]
Corona Virus: A Curious Guide for Courageous Kids [3697-Views]
Automobili Lamborghini Starts Production of Surgical Masks and Medical Shields for Use in ... [3654-Views]
How To Get Your Home Ramadan-Ready With Sedar Global Interiors E-Commerce [3599-Views]
Dubai Chamber Launches Electronic Attestation Service and Enhances Its Range of Smart Serv... [3495-Views]
MBRSC Extends Deadline for UAE Astronaut Programme Registrations [3495-Views]
Ahmed bin Humaid Al Nuaimi launches new incentives for AFZ companies [3483-Views]
MBRSC Releases GIF Image Showing Decline of NO2 in the GCC [3477-Views]
 
RSS Facebook Twitter LinkedDin
 
Top Sections
 
Top Stories