Air freight markets declined year-on-year for the eighth consecutive month in June, according to the International Air Transport Association (IATA), who blamed global trade tensions.
Globally, IATA said demand, measured in freight tonne kilometres (FTKs), decreased by 4.8 per cent, compared to the same month in 2018, as volumes continue to plunge.
The association noted that signs of a modest recovery in recent months appear to have been premature, with the June contraction broad-based across all regions with the exception of Africa.
Regionally, Africa’s FTks were up 3.8 per cent, but all other regions were down with the Middle East falling seven per cent, Asia Pacific 5.4 per cent, Europe 3.6 per cent, North America 4.6 per cent and Latin America one per cent.
Capacity growth remains subdued, rising by 2.6 per cent and the cargo load factor fell 3.5 percentage points to 45.4 per cent. Globally, IATA said trade growth is “languishing”, and business uncertainty is compounded by the latest tariff increases in the US-China trade dispute.
“Global trade continues to suffer as trade tensions – particularly between the US and China -deepen. As a result, air cargo markets continue to contract. Nobody wins a trade war. Borders that are open to trade spread sustained prosperity. That’s what our political leaders must focus on,” said Alexandre de Juniac, IATA’s director general and CEO.