Asia Pacific air cargo demand shrinks in June
28 / 07 / 2020
Air cargo carriers based in the Asia Pacific region saw cargo demand drop by double-digit percentage levels in June, but load factors increased.
Figures from the Association of Asia Pacific Airlines (AAPA) show that air cargo demand, in freight tonne kilometre (FTK) terms, was 20.3% lower year on year in June, as demand for exports continued to falter on the back of economic weakness aggravated by disruptions to global supply chains.
Meanwhile, freight capacity fell by 27.2% as most passenger aircraft were grounded, resulting in a 5.6 percentage point increase in the average international freight load factor to 64.9% for the month.
Subhas Menon, AAPA director general, said: “Air cargo demand declined by 16% during the first half of the year, reflecting the general deterioration in consumer and business confidence.
Looking ahead, Menon said: “The prospect of a recovery in travel markets during the second half of the year is increasingly uncertain, as governments grapple with a resurgence of local infections, with the re-imposition of community lockdowns and further tightening of travel restrictions.
“Uncoordinated measures between states, including blanket quarantines by some, are making international air travel extremely difficult even for those wishing to travel. Airlines in the Asia Pacific region are rapidly depleting cash reserves and incurring massive losses.
“It is critical for governments to recognise the debilitating impact of current policies and work cooperatively to re-establish global connectivity whilst maintaining appropriate measures to safeguard public health in line with guidance published by the International Civil Aviation Organisation.”