English Arabic Armenian Azerbaijani Chinese (Simplified) Chinese (Traditional) Czech Danish Dutch Estonian Filipino Finnish French Galician Georgian German Greek Hindi Hungarian Icelandic Indonesian Italian Japanese Korean Latvian Lithuanian Malay Maltese Norwegian Persian Polish Portuguese Russian Slovak Slovenian Spanish Swedish Thai Turkish Ukrainian Vietnamese

Air cargo "stabilizing" says IATA

PRESS RELEASE

July 02, 2014: The International Air Transport Association (IATA) released data for global air freight markets showing air cargo growth accelerated in May, with 4.7% growth compared to a year ago. This is up from the 3.8% year-on-year growth recorded in April. Cargo volumes, measured by Freight Tonne Kilometers (FTKs) were up across all regions, but with significant differences in performance.

The Middle East carriers reported 9.3% year-on-year growth, whereas the corresponding growth rate for North American carriers stood at 2.4%. The acceleration of growth reflects improved economic conditions. There are indications that world trade and business confidence to be improving after weakness in the first quarter. In particular, Chinese manufacturing activity rebounded in May, with a corresponding rise in export order growth.

"After several months of wavering conditions in the demand environment, the outlook for global air cargo appears to be stabilizing. That's good news but the sector still faces an uphill battle to restore competitiveness and increase its share of trade growth. This will not be achieved with a business-as-usual mindset. The competitors to air cargo are innovating aggressively, cutting end-to-end shipping times and improving efficiency. There is tremendous potential in the e-cargo agenda to help shorten average shipping times by 48 hours from the current average of 6.5 days. Airlines have a pivotal role through expanding the use of e-Air Waybills. But success will need a united approach across the value chain," said Tony Tyler, IATA's Director General and CEO.

Regional analysis in depth

  • Asia-Pacific carriers recorded a strong increase of 5.3% year-on-year. Regional trade volumes have picked-up again, and there are signs that the slowdown in the Chinese economy is easing. Capacity grew a little faster than demand, at 6.0%, but the region still has the highest freight load factor (55.5%).
  • North American carriers grew by a modest 2.4% in May, down on the April year-on-year growth rate of 3.5%. This reflects the general slowdown in the US economy in the first quarter. However, the latest data supports a return to trade and business growth. Capacity was down 0.2%.
  • European airlines expanded 3.4% in May. The month-on-month rise was solid at 0.6% (compared to 0.3% growth recorded in April), pointing to a consistent improvement in economic activity. If GDP accelerates in the second quarter, that should support continued growth in air freight volumes in the coming months. Capacity increased 4.0%.
  • Middle East carriers continue to see the highest rate of growth, expanding 9.3% in May compared to a year ago. Stronger expansion in developed markets is combining with rising links to emerging economies to fuel growth. Capacity grew 10.6%.
  • Latin American airlines recorded an increase of 4.9% year-on-year, responding to a pick up in trade growth. This may be a spike in business activity associated with the FIFA World Cup. Capacity climbed 4.5%, slightly slower than demand.
  • African carriers' demand increased by 7.2% in May, considerably ahead of the average growth of 2.9% for 2014. Weaker growth in the major African economies in the first months of the year appears to be ending, which will hopefully fuel stronger performance in the months ahead. Capacity rose 7.2%, exactly in line with demand.

More News

Written on 25/04/2017, 19:43
cma-cgm-begins-indonesia-u-s-west-coast-direct-serviceJAKARTA: April 23, 2017. The CMA CGM 'Otello' has become the largest container vessel to call at the Jakarta International Container Terminal (JICT) at...
Written on 25/04/2017, 17:13
pegasus-adds-four-russian-destinations-from-londonLONDON STANSTED: April 25, 2017. Pegasus Airlines is launching new B737-800 services from London Stansted to four destinations in Russia plus Abu Dhabi,...
Written on 25/04/2017, 16:26
jd-com-to-offer-smart-supply-chain-servicesBEIJING: April 25, 2017. JD.com, China's other online retailer, has launched JD Logistics to provide smart supply chain and logistics services to a wide...
Written on 21/04/2017, 15:35
walmart-launches-gigaton-elimination-goalBENTONVILLE, AR: April 20, 2017. Walmart has launched 'Project Gigaton' to encourage its suppliers to help eliminate one billion tonnes of greenhouse gas...
Written on 20/04/2017, 19:00
samskip-grows-perishables-businessROTTERDAM: April 20, 2017. Samskip is to acquire New Jersey-based freight forwarder Rimar Consultants to expand the perishables business of its U.S....
Written on 19/04/2017, 21:26
airbus-to-trial-autonomous-drone-with-singapore-postSINGAPORE: April 18, 2017. Airbus Helicopters and Singapore Post (SingPost) are to begin trials of the Airbus Skyways drone project at the National...
Written on 18/04/2017, 21:39
niledutch-uses-ai-for-predictive-logisticsSAN FRANCISCO/ROTTERDAM. April 18, 2017. Africa box carrier and breakbulk specialist NileDutch is to use ClearMetal AI and predictive logistics technology...
Written on 18/04/2017, 18:29
united-airlines-arrives-at-watershed-momentCHICAGO: April 17, 2017. United Airlines has reported a 69.3 percent drop in net income to US$96 million for the first quarter of 2017, on a 2.7 percent...
Written on 18/04/2017, 17:54
teamsters-reach-new-airline-agreementsPURCHASE, NY: April 17, 2017. Teamsters union flight dispatchers at Atlas Air and Polar Air Cargo have voted to extend their contract with the two...
Written on 13/04/2017, 14:25
not-your-usual-award-ceremonyAMSTERDAM: April 12, 2017. The Royal Schiphol Group has recognized its business partners who have distinguished themselves through innovative business...
Written on 12/04/2017, 20:51
deutsche-post-doubles-electric-mail-fleetBONN: April 11, 2017. Deutsche Post DHL is to expand production of its StreetScooter postal service electric van from 10,000 to 20,000 units in response...
Written on 12/04/2017, 19:07
delta-cargo-weathers-2017-first-quarterATLANTA: April 12, 2017. Delta Air Lines has reported a 36 percent fall in net income to US$603 million for the first quarter of 2017 compared to the...
Written on 11/04/2017, 20:50
russia-to-begin-all-weather-lng-shipping-via-northern-sea-routeSABETTA, Russia: April 11, 2017. The world's first ice-breaking LNG tanker, named after former Total head Christophe de Margerie, has berthed at Russia's...
Written on 11/04/2017, 20:48
first-uk-export-train-leaves-london-for-chinaLONDON: April 10, 2017. The first ever container train from the UK to China has left DP World's London Gateway port pulled by DB Cargo with British...
Written on 11/04/2017, 20:42
antonov-compresses-shipment-to-incheonLONDON, STANSTED: April 11, 2017. Antonov Airlines has delivered three compressors wieghing 23 tonnes each on an AN-124 aircraft from London Stansted to...
Written on 11/04/2017, 20:23
turkish-cargo-rewards-loyal-customersISTANBUL: April 10, 2017. Coincident with its move to larger offices in Hong Kong, Turkish Cargo has been recognizing its customers in the autonomous...
Written on 06/04/2017, 22:55
air-asia-to-launch-vietnam-airlineKUALA LUMPUR: April 06, 2017. Air Asia is to launch a low-cost carrier in Vietnam together with local shareholders Gumin Company, Tran Trong Kien, and the...
Written on 06/04/2017, 22:40
pos-malaysia-adds-tigers-at-kuala-lumpurHONG KONG: April 05, 2017. Supply chain specialist Tigers Ltd has signed a cooperation agreement with national postal provider Pos Malaysia to manage its...
Written on 04/04/2017, 15:53
saudi-arabia-joins-antonov-test-flightsKYIV, Ukraine: April 04, 2017: Antonov Airlines has begun a test flight program for a new AN-132D multipurpose aircraft destined for use in Saudi...
Written on 04/04/2017, 15:26
ups-launches-saturday-serviceATLANTA/ARLINGTON, TX: April 04, 2017. UPS has launched a Saturday ground pick-up and delivery service in the U.S. that is expected to create over 6,000...

- powered by Quickchilli.com -