Categories: Economy

Air travel under pressure from economic headwind Related articles

Global air cargo demand fell 13.6% year on year in October on deteriorating economic prospects in many major economies. This was reported by the international aviation trade association Iata. Declining air travel demand follows exceptionally strong performance in October 2021.

Global air cargo demand fell 13.6% year on year in October on deteriorating economic prospects in many major economies. (Unsplash)

Compared to September, the demand for air travel increased by 3.5%. Air cargo therefore continues to show resilience despite economic headwinds, said IATA Director General Willie Walsh. “This indicates that the end of the year still carries a traditional recovery, despite economic uncertainties.”

As 2022 draws to a close, Walsh says it looks like the current economic uncertainties will linger into the new year. “This is something we need to keep an eye on,” warned the CEO.

Below level capacity

Capacity in October was 0.6% below its year-ago level. This was the first annual contraction since April 2022. On a monthly basis, capacity increased 2.4% in preparation for the peak season due to the holiday season at the end of the year. International transport capacity grew by 2.4% compared to October 2021.

European airlines saw their air cargo volumes fall by 18.8% in October compared to the same month in 2021. Europe saw the largest decline of all regions. In September, European cargo volumes have already decreased by 15.6%. Capacity in Europe decreased 5.2% year over year in October.

Author: BNR web editor
Source: BNR

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