Global air cargo demand grew 5.5% in July, reflecting solid momentum, according to the International Air Transport Association (IATA), which represents some 350 airlines accounting for over 80% of global air traffic. International cargo tonne-kilometers (CTK) rose 6.0% year-on-year, with most regions and trade lanes recording single-digit gains. The Asia Pacific region led the surge, posting an 11.0% year-on-year increase.
Most major trade lanes saw growth, except Asia–North America, where demand slipped 1% year-on-year. Analysts attribute the dip to a slowdown in ecommerce following the expiry of US de minimis exemptions on small shipments. However, shippers offset some of the decline by frontloading goods in anticipation of higher tariffs on US imports. The true impact of shifting US trade policies will be clearer in the August figures.
Global available cargo space, measured in Available Cargo Tonne-Kilometers (ACTK), expanded by 3.9% year-on-year in July. However, Cargo Load Factor (CLF) slipped by 0.7 percentage points compared to June 2024, indicating softer capacity utilization.
Fuel and pricing trends also played a role. Jet fuel prices fell 9.1% year-on-year, the fifth consecutive annual decline, even though they rose 4.3% month-on-month in July. Cargo yields continued to weaken, with freight rates down 2.0% year-on-year, though edging up 0.8% month-on-month.
Amid these shifts, the Europe–Asia trade lane remained a bright spot. “A fifth of air cargo travels on the Europe–Asia trade lane, which posted its 29th consecutive month of expansion with 13.5% year-on-year growth in July,” said Willie Walsh, IATA’s Director General.