Global Air Cargo Declines By 01% In February – IATA

Emmanuel Olisemeke

The International Air Transport Association (IATA) has said that global air cargo markets measured in Cargo Tonne-Kilometers (CTK), declined by 0.1 per cent in February 2024, compared to the same period in 2024.

The association said that the decline was the first decline since mid-2023.

IATA also said that capacity, measured in Available Cargo Tonne-Kilometers (ACTK), decreased by 0.4 per cent within the same period when compared to February 2024.

It said year-on-year comparisons were affected by the extra day in February 2024 due to the leap year.

Commenting on the statistics, Willie Walsh, IATA’s Director General, said that February saw a small contraction in air cargo demand, the first year-on-year decline since mid-2023.

He attributed this to February 2024 being extraordinary—a leap year that was also boosted by Chinese New Year traffic, sea lane closures and a boom in e-commerce.

“Rising trade tensions are, of course, a concern for air cargo. With equity markets already showing their discomfort, we urge governments to focus on dialogue over tariffs,” he added.

He further noted that in January, the industrial production index rose 3.2 per cent year-on-year, the highest growth in two years and world trade expanded by 5 per cent.

Besides, jet fuel prices averaged $ 94.6/barrel in February, a 2.1 per cent drop from January.

In February, the Purchasing Managers Index (PMI) for global manufacturing output was above the 50-mark (51.5), indicating growth.

The PMI for new export orders rose slightly to 49.60 from the previous month, remaining just shy of the 50-mark, which is the growth threshold.

In February, consumer inflation remained elevated in the US, Europe, and Japan, easing only slightly from the previous month.

In contrast, China recorded its first decline in consumer prices in 11 months, reinforcing signs of persistent deflationary pressure in the economy.

On regional performances, IATA said Asia-Pacific airlines saw 5.1 per cent year-on-year demand growth for air cargo in February, while capacity increased by 2.7 per cent year-on-year.

Also, North American carriers saw a 0.4 per cent year-on-year decrease in demand growth for air cargo in February and capacity decreased by 3.5 per cent year-on-year.

For European carriers, they saw a 0.1 per cent year-on-year decrease in demand growth for air cargo in February and capacity also decreased 0.2 per cent year-on-year.

Middle Eastern carriers saw an 11.9 per cent year-on-year decrease in demand growth for air cargo in February, the slowest among the regions.

Also, capacity decreased by 4 per cent year-on-year in the region.

Latin American carriers saw 6 per cent year-on-year demand growth for air cargo in February, the strongest growth among the regions and capacity also increased 7.6 per cent year-on-year.

African airlines saw a 5.7% year-on-year decrease in demand for air cargo in February, while their capacity also decreased by 0.6 per cent year-on-year.

Besides, the association also said that African airlines saw a 6.7 per cent year-on-year increase in demand in February 2025 when compared to the same period in 2024.

IATA explained that global total demand, measured in revenue passenger kilometers (RPK), was up 2.6 per cent compared to February 2024, while total capacity, measured in Available Seat Kilometers (ASK), was up 2 per cent year-on-year.

According to IATA in its regional market analysis, African airlines experienced a 6.7 per cent year-on-year growth in demand with increased capacity at 4 per cent year-on-year.

Also, the load factor for Africa rose to 75.3 per cent ppt compared to February 2024.

For the global performance, total demand, measured in RPK, was up 2.6 per cent compared to February 2024.

Besides, total capacity, measured in ASK, was up 2 per cent year-on-year, while the February load factor was 81.1 per cent compared to February 2024 period.

IATA also said that international demand rose 5.6 per cent compared to February 2024 and capacity was up 4.5 per cent year-on-year, and the load factor was 80.2 per cent within the same period under review.

Domestic demand fell 1.9 per cent compared to February 2024 and capacity was down 1.7 per cent year-on-year, while the load factor was 82.6 per cent compared to February 2024.

Commenting on the statistics, Walsh said that while traffic growth slowed in February, much of this could be explained by factors including the leap year, and lunar new year falling in January compared to February last year.

Walsh emphasised that February traffic hit an all-time high, and the number of scheduled flights was set to continue increasing in March and April.

He, however, said that there was the need to keep a close eye on developments in North America, which saw falls in both domestic and international traffic.

He added: “The recent shut-down of Heathrow reminded us once again that the current passenger rights regime in place in Europe and the UK is not fit for purpose. The annual costs of compensation, care and assistance run into the billions. Thankfully, the Polish Presidency of the EU has recognised that this is a drag on European competitiveness and is progressing much-needed and long-anticipated reforms to EU261.

“While many of the proposed reforms are sensible, the package stops short of a real solution. Even with the reforms, EU261 will still target the airlines with penalties even if the root cause of delays is an infrastructure incident out of their control—like we saw at Heathrow.

“Over two decades of EU261 have not seen a reduction in delays because infrastructure providers have no incentive to improve their game. Sadly, for European travelers, we are likely to see this play out again in this summer’s peak travel season. Genuine reform of EU261 must ensure that all parties responsible for delays have a stake in the consequences,” said Walsh.”

On regional breakdown, International RPK growth moderated to 5.6 per cent in February year-on-year, down from 12.3 per cent growth in January.

However, this growth, IATA said meant that all regions except North America established record February levels of demand.

Asia-Pacific airlines achieved a 9.5 per cent year-on-year increase in demand, while its capacity increased 8.3 per cent year-on-year and the load factor was 85.7 per cent when compared to February 2024.

European carriers had a 5.7 per cent year-on-year increase in demand and capacity increased 4.9 per cent year-on-year, while the load factor was 75.5 per cent.

Also, Middle Eastern carriers saw a 3.1 per cent year-on-year increase in demand and capacity increased 1.3 per cent year-on-year and the load factor was 81.9 per cent.

North American carriers saw a -1.5 per cent year-on-year fall in demand and its capacity decreased -3.2 per cent year-on-year, while the load factor was 78.9 per cent when compared to February 2024.

Latin American airlines saw a 6.7 per cent year-on-year increase in demand, while capacity climbed 9.9 per cent year-on-year and the load factor was 81.7 per cent.