The International Air Transport Association (IATA) has released data showing a remarkable surge in global air cargo demand for June 2024, marking a 14.1 percent increase compared to June 2023. This impressive growth contributed to a stellar first half of the year, with air cargo volumes surpassing those of 2023, 2022, and even the record-breaking year of 2021.

Key metrics

The total demand for air cargo, measured in cargo tonne-kilometers (CTKs), rose by 14.1 percent in June 2024 compared to the previous year, with international operations experiencing a 15.6 percent increase. This marks the seventh consecutive month of double-digit year-on-year growth. Capacity, measured in available cargo tonne-kilometers (ACTKs), also saw a notable rise of 8.8 percent compared to June 2023, with a 10.8 percent increase for international operations.

For the first half of 2024, total demand increased by 13.4 percent compared to H1 2023, by 4.3 percent compared to H1 2022, and slightly above H1 2021 levels by 0.02%.

Driving the surge

Willie Walsh, IATA’s Director General, noted the strong performance across all regions and major trade lanes. “Air cargo demand surged in June. Strong growth across all regions and major trade lanes combined for a record-breaking first-half performance in terms of CTKs. Maritime shipping constraints and a booming e-commerce sector are among the strongest growth drivers. Meanwhile, the sector has remained largely impervious to ongoing political and economic challenges, and the US customs crackdown on e-commerce deliveries from China. Air cargo looks to be on solid ground to continue its strong performance into the second half of 2024.”

Operational environment

Several factors influenced the operating environment in June:

• The Purchasing Managers Index (PMI) for global manufacturing output indicated expansion at 52.3, while the new export orders PMI slightly contracted to 49.3.
• Global cross-border trade expanded marginally by 0.1 percent month-on-month in May, while industrial production remained stable compared to the previous month.
• Inflation rates in June showed a mixed picture: steady in the EU and Japan at 2.6 percent and 2.8 percent, respectively, a drop in the US to 3.0 percent, and near-zero inflation in China at 0.3% due to weak domestic demand and a real estate sector crisis.

Regional performance

Asia-Pacific airlines led the growth with a 17.0% year-on-year increase in demand. Notable trade lanes included Africa-Asia (37.5 percent growth), Europe-Asia (20.3 percent), Within Asia (21.0 percent), and Middle East-Asia (15.1 percent). Capacity increased by 10.7 percent.

North American carriers experienced the slowest growth at 9.5% year-on-year. However, the Asia-North America trade lane saw a 12.8% increase, the largest in five months. Capacity increased by 6.0 percent.

European carriers saw a 16.1 percent increase in demand, with intra-European air cargo growing by 16.7 percent. The Europe-Middle East and Europe-Asia routes saw impressive growth at 30.2 percent and 20.3 percent, respectively. Capacity rose by 9.1 percent.

Middle Eastern carriers experienced a 13.8 percent increase in demand, with significant growth in the Middle East-Europe market (30.2 percent) and Middle East-Asia (15.1 percent). Capacity increased by 6.9 percent.

Latin American carriers posted a 13.1 percent increase in demand, with a notable 17.2 percent growth in international demand. Capacity increased by 15.5 percent.

African airlines saw an 11.8 percent increase in demand, with the Africa-Asia market showing a remarkable 37.5 percent growth. Capacity increased by 23.8 percent.

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