Ten years after, airfreight still feels the effects of the global financial crisis

A decade after the collapse of Lehman Brothers and the global financial crisis (GFC) that followed, airfreight volumes are still feeling the effect.
IATA says that the 22% peak-to-trough decline in freight tonne kilometres (FTKs) during the GFC was almost twice as large as that seen in the previous freight downturn in the early-2000s.
While freight volumes initially “bounced back strongly” after the GFC, IATA said that the “disappointing growth experience thereafter means that they are still marginally below their pre-crisis trend level to this day”.
It added: “Somewhat paradoxically, the downturn in passenger demand during the GFC was not especially deep; the peak-to-trough decline in revenue passenger kilometres (RPKs) was less than half that seen following the SARS outbreak in 2003, for example (6.3% versus 15.8%).”
IATA estimates that the GFC cost the global aviation industry some $280bn in lost revenues.
“The key point is that it has taken a long time for the industry to recover from the GFC, and this has had a big impact on activity and revenues. All told, we estimate that 5.8% fewer RPKs and 8.9% fewer FTKs were flown in the years following the GFC than would have been the case had they continued their pre-crisis trends.
“This is equivalent to 2.9trn fewer RPKs and 180bn fewer FTKs. At current yields, this equates to around $280bn in lost revenue for the industry over the past decade.”

Share this story

Related Topics

Latest airlines news

Lufthansa Cargo goes greener with fuel saving technology for B777Fs

By Rebecca Jeffrey

Lufthansa Cargo’s first Boeing B777 freighter modified with a surface technology that helps save fuel and reduce emissions has taken…

Read More

Share this story

American Airlines Cargo looks to reduce plastic waste

By Mike Bryant

Dallas-based American Airlines Cargo is using biodegradable plastic wrap BioNatur Plastics in a bid to reduce its environmental footprint. The…

Read More

Share this story

IAG Cargo goes big on dinosaur move

By Mike Bryant

IAG Cargo has transported a skeleton cast of the world’s largest known dinosaur from Argentina to the UK. The cast’s…

Read More

Share this story