Asia Pacific airfreight demand falls 7.7% in July
27 / 08 / 2019
Asia Pacific airlines saw airfreight demand fall 7.7% in July as declining exports and a worsening trade outlook led to further weakness in the region’s air cargo markets.
The Association of Asia Pacific Airlines (AAPA), in its preliminary monthly traffic data for July, said that “mounting trade tensions, alongside deteriorating business confidence levels” contributed to further declines in orders for goods.
The AAPA added: “Against this backdrop, the region’s airlines registered a 7.7% fall in air cargo demand as measured in freight tonne kilometres (FTK) in July.
“The markedly lower demand, coupled with almost flat expansion in offered freight capacity, by 0.4%, led to a 5.2 percentage point decline in the average international freight load factor, to 58.9% for the month.”
In contrast, the AAPA’s airline membership saw international air passenger demand continue to grow moderately in July, supported by business and leisure related travel.
The number of international passengers carried by the region’s airlines climbed 3.4% higher year-on-year to a combined 32.5m.
Commenting on the air cargo results, AAPA director general Andrew Herdman said that global trade conditions deteriorated further, “as higher tariffs disrupted global supply chains, and Asian airlines saw international air cargo demand fall by 6.2% during the first seven months of the year”.
He added: “The weakness in air cargo markets is likely to extend into the coming months, unless we see some meaningful progress in trade negotiations.”