LONDON: The demand for air cargo globally continues to face headwinds due to weakening businesses and growing trade tensions, the International Air Transport Association (IATA) has said.
Global trade volumes have fallen by one per cent over the past year, while economic activity and consumer confidence continue to weaken.
The export order component of the global manufacturers Purchasing Managers Index (PMI) indicates falling global export orders since September 2018, said IATA that represents some 290 airlines comprising 82 per cent of the air traffic worldwide.
Air freight markets show that demand measured in freight tonne kilometres (FTKs), increased just
0.1 per cent in March 2019 compared to the same period in 2018. "While this is a significant improvement on 4.9 per cent contraction in February in seasonally adjusted terms, demand is still down 1.5 per cent over the past year."
Freight capacity measured in available freight tonne kilometres (AFTKs) rose by 3.1 per cent year-on-year in March 2019. Capacity growth has now outstripped demand growth for 11 out of the last 12 months, said IATA in a statement.
