The International Air Transport Association (IATA) has announced August 2014 data for global air freight markets showing continued robust growth in air cargo volumes.
Measured by freight tonne kilometres (FTKs), global volumes rose 5.1 per cent in August, compared to August 2013. Capacity grew at a slower pace of 3.4 per cent from the previous year.
This is the second strong month for cargo volumes in a row, following the 6.1 per cent year-on-year rise recorded in July, IATA said in a statement.
Carriers in all regions reported an expansion in volumes. Closely following improvements in world trade and business activity, airlines in the Middle East, North America and Asia reported the strongest growth in the 5-8 per cent range, IATA said.
By comparison demand in Europe and Latin America lagged in the 1-1.5 per cent range as a result of EU sanctions on business with Russia and Brazilian economic weakness.
Commenting on the results, Tony Tyler, IATA’s director general and CEO said: “The outlook for air cargo is clearly getting better. However, there are some limiting factors on the extent of potential gains. Demand for air cargo is growing more slowly than global economic activity. Businesses are reported to have more confidence in the future, but the list of political and economic risks continues to moderate how that confidence translates into actual activity."
IATA's August data showed Asia Pacific carriers grew 6.3 per cent, continuing the acceleration of recent months. Emerging Asia trade volumes have expanded volumes solidly in June and July, IATA said, adding that a notable rise in Chinese export orders bodes well for future demand growth. Capacity expanded 4.4 per cent.
According to the IATA, European airlines grew 1.4 per cent. Economic activity within the Eurozone continues to deteriorate, although the latest data does show a moderate pick-up in imports and exports. EU sanctions as a result of the Russia-Ukraine crisis also continues to affect demand. Capacity expanded 4.8 per cent.
North American carriers increased air freight volumes by a solid 5.5 per cent compared to a year ago. A rebound in business activity following the weakness in the first quarter and positive underlying economic growth trends should support stronger growth in the coming months, the IATA said. Capacity fell 0.4 per cent.
Middle Eastern carriers reported cargo growth of 7.8 per cent, a little below the year-to-date average of 9.6 per cent. The Middle East continues to expand strongly on its growing links to developing markets, as well as diversifying into important commodities such as perishables, the IATA said. Capacity was up 6 per cent.
Latin American airlines saw air cargo grow by a sluggish 1.1 per cent compared to August 2013. The weakness in Latin American freight volumes reflects declines in regional trade activity and the anaemic performance of the Brazilian economy. Capacity expanded 7.6 per cent.
African airlines reported the strongest growth of air cargo demand with a 9.2 per cent year-on-year expansion. Although this is the second consecutive month of strong growth, the volatility of African data, coupled with the slowdown in key African economies such as South Africa, means it is too soon to understand the extent to which this represents a real and sustainable acceleration, the IATA said. Capacity grew 4.2 per cent.