Travel Industry News at TravelNewsAsia.com since 1997
Thursday, 6 July 2023

IATA Reports 6% Decline in Demand for International Air Cargo Operations

(06/07/23)  IATA's global air cargo data for May 2023 shows weak market conditions with global demand, measured in cargo tonne-kilometers (CTKs), falling 5.2% compared to May 2022 (-6% for international operations).

Capacity, as measured by available cargo tonne-kilometers (ACTKs), rose 14.5% compared to May 2022, primarily driven by belly capacity which increases as demand in the passenger business recovers. Capacity is now 5.9% above pre-pandemic May 2019 levels.

Key factors influencing demand include:

- The global manufacturing Purchasing Managers Index (PMI) indicates an annual contraction of 1.4% in new export orders and a decrease of 5.2% year-on-year in production PMI. This suggests a cooling in global manufacturing demand;

- Global goods trade decreased by 0.8% in April, due to macroeconomic challenges and supply chain constraints. Trading conditions appeared to favor maritime cargo as demand for container shipping contracted by 0.2% while air cargo demand weakened by 6.3% year-on-year; and

Turkish Cargo Airbus A330-200F. Picture by Steven Howard of TravelNewsAsia.com Click to enlarge.
Turkish Cargo Airbus A330-200F. Picture by Steven Howard of TravelNewsAsia.com

- The global supplier delivery time PMI increased to 54.5 in May, up from its low of 35 in October 2021, indicating shorter delivery times and some relief for supply chains. However, this is also a sign of weaker global goods trade demand.

“Trading conditions for air cargo continue to be challenging with a 5.2% fall in demand and several economic indicators pointing towards weakness,” said Willie Walsh, IATA’s Director General. “The second half of the year, however, should bring some improvements. As inflation moderates in many markets, it is widely expected that central bank rate hikes will taper. This should help stimulate economic activity with a positive impact on demand for air cargo.”

Asia-Pacific airlines saw their air cargo volumes decrease by 3.3% in May 2023 compared to the same month in 2022, a decrease in performance compared to April of -0.3%, mainly due to the stronger annual contraction in international air cargo demand from -3.5% in April to -6.4% in May. Available capacity in the region increased by 38.3% compared to May 2022 as more belly capacity came online from the passenger side of the business.

North American carriers saw the weakest performance of all regions for the third consecutive month with an 8.1% decrease in cargo volumes in May 2023 compared to the same month in 2022. This was a slight improvement in performance compared to April (-12.4%). Notably, airlines in the region saw the third month of double-digit contractions in volumes on the North America-Europe trade lane (-10.3%). Capacity increased 1.2% compared to May 2022.

European carriers experienced a 6.7% decrease in cargo volumes in May 2023, compared to the same month in 2022. This was an improvement in performance compared to April (-7.7%), in part due to the smaller annual contraction in international CTKs on the Europe-Middle East trade lane, from -4.7% in April to -2.9% in May. The decline in international cargo traffic on markets within-Europe also improved from -16.2% in April to -7.8% this month (seasonally adjusted). Meanwhile, capacity increased 5.6% in May 2023 compared to May 2022.

Middle Eastern carriers experienced a 3.1% year-on-year decrease in cargo volumes in May 2023. This was a slight improvement in performance compared to the previous month (-6.7%). Capacity increased 15.6% compared to May 2022.

Latin American carriers had the only positive performance in May 2023 posting a 3.6% increase in cargo volumes compared to May 2022. This was an improvement in performance compared to April (-1.6%). Capacity in May was up 14.7% compared to the same month in 2022.

African airlines posted a 2.4% decrease in demand compared to May 2022. This was a decline in performance compared to the previous month (-0.9%). Notably, the growth on the Africa to Asia trade route slowed significantly in May from 18.5% in April to 11%, possibly due to the impact of the conflict in Sudan since mid-April. Capacity in May was up 9.2% compared to the same month in 2022.

Latest exclusive video interviews9 HD Video Interviews from Routes Asia 2024 in Langkawi, Malaysia; Standard to Open Residences in Hua Hin and Phuket, Thailand; Video Interview with Amar Lalvani, Executive Chairman; 9 Exclusive Video Interviews from ASEAN Tourism Forum 2024 in Vientiane, Laos; 8 NTO Press Conferences from ASEAN Tourism Forum 2024 in Vientiane, Laos; 13 HD Video Interviews from World Travel Market 2023 in London, England; 5 HD Video Interviews from APG World Connect 2023 in Monaco, France; 15 HD Video Interviews from Routes World 2023 in Istanbul, Türkiye; and Electric Airport Taxis at Almaty Airport (ALA) in Kazakhstan - HD Video Interview with CEO.



Headlines: IHG Signs Crowne Plaza Hotel in Dehradun, India  Air Astana and Neos Sign MOU on Strategic Partnership  Fiji Airways to Use Assaia's TurnaroundControl Solution  AirX Signs LOI with Eve For Up To 50 eVTOL Aircraft  Executive Changes as bp Simplifies Organisational Structure  Thai AirAsia to Launch Daily Flights Between Suvarnabhumi and Hat Yai  Lufthansa's Brand New Long-Haul Allegris Cabin to Enter Service on 1 May  Bangkok Airways Extends Partnership with Sabre  IHG Expanding Garner Hotels Midscale Conversion Brand to More Countries  CWT Expands Access to Finnair NDC Content in Finland and the Nordics  Tourism Malaysia Extends Data and Market Intelligence Agreement with Travelport  Rajiv Bhatia Joins Sabre as Executive Director - Asia Pacific Market Expansion  Copenhagen Home to First Fairfield by Marriott Hotel in Europe  Hawaiian Airlines' New Flagship Aircraft Enters Service  Travelodge Opens Fourth Hotel in Seoul, South Korea  Sabre Partners South Korean OTA, InterparkTriple  British Airways Upgrading Weather Data Available to Pilots and Flight Planning Teams  Air Astana Increases Flights and Resumes Services to Select Destinations  Jean-Marie Le Gall Appointed General Manager of The Woodward Hotel in Geneva, Switzerland  IHG Signs Second Kimpton Hotel in Portugal  Scoot Takes Delivery of First of Nine E190-E2 Aircraft from Azorra  Finnair Updates Summer 2025 Flight Schedule  Delta Air Lines Launches Thrice Weekly Munich - New York JFK Flights  Japan Coast Guard to Expand Fleet with Three Airbus H225 Helicopters  EL AL to Implement NetLine/Ops ++  Sabre to Upgrade Japanese Hotel Company's Distribution and Retailing Strategy  Air Astana Upgrades Safety Training with CEET and RFFT Simulators in Astana, Kazakhstan  Dean Dimitriou Returns to The Murray Hong Kong as Hotel General Manager  ASM Global Appoints Matthew Lazarus-Hall as EVP Entertainment & Content  Thai Lion Air Launches Bangkok - Kochi Flights; Appoints Çelebi as Ground Handler  Onyx Hospitality Signs Shama Serviced Apartments in Rayong, Thailand  AirAsia X to Resume Flights Between Kuala Lumpur and Changsha, China  IndiGo to Launch Kozhikode - Kochi - Agatti Flights  Neste Supplying Emirates with SAF at Amsterdam Schiphol Airport; Changi Next  Amadeus Completes Acquisition of Vision-Box  AirJapan Enhances Operations with Radixx PSS  New Zealand Men and Women Win Final Sevens Tournament at Hong Kong Stadium  Korean Air to Operate Seasonal Charter Flights Between Seoul Incheon and Taichung, Taiwan  Pegasus Airlines Launches Flights Between Ankara and Lisbon, Portugal  Smiths Detection Appoints Jerome de Chassey as President  AirAsia X Resumes Flights Between Kuala Lumpur and Xi'an, China  Cathay Cargo Resumes Freighter Flights from Saigon, Vietnam  SITA Publishes White Paper on Role of Biometrics in Air Travel  Cheval Collection Expands Global Hotel Alliance's Portfolio to Serviced Apartments  Langham Rebrands Hotel in Foshan, China  Aviation: International Passenger Demand Up 26.3%; Asia Pacific Airlines Report 53.2% Increase  International Air Cargo Demand Up 12.4% in February 2024; Capacity Up 16%  L'Occitane Group Appoints Green Yip as Regional MD - Travel Retail Asia Pacific  Le Bristol Paris Appoints Arnaud Faye as Executive Chef  Chris Kemlo Appointed General Manager of The Calile Hotel in Brisbane, Australia  Sabre Space Roadshow to Take Place in Delhi and Mumbai, India  Malaysia Airlines and IndiGo to Codeshare  Accor Expands Portfolio with 22 Hotels in Japan  Hong Kong Airlines Resumes Flights to Kagoshima, Japan  FlyArystan Receives AOC from Aviation Administration of Kazakhstan  Marriott Opens Resort on Perhentian Keci Island in Terengganu, Malaysia  AirAsia Malaysia Resumes Kuching - Penang and Kota Kinabalu - Penang Flights  Hong Kong Stadium Prepares for Final Sevens; International Fans Buy Over 40% of Tickets  ExecuJet Opens New MRO Facility at Subang Airport Near Kuala Lumpur, Malaysia  Michelle Freyre to Join United Airlines' Board of Directors  Lloyd's Inn Kuala Lumpur to Open 1 April  Korean Air Unveils New Maintenance, Aerospace, Cargo and Ground Handling Uniforms  SalamAir to Launch Flights Between Muscat and Tirana, Albania  IHG Unveils New Staybridge, Candlewood and Atwell Suites Prototypes in USA  DHL Aviation Extends Partnership with Worldwide Flight Services in France  United Airlines Installing Larger Overhead Bins on Embraer E175 Fleet  Not Everyone Wants to Use an App; Bonza Enhances Booking Options with Website  Amadeus Expands Travel4Impact Globally; Applications Open Until 30 April  Asia Pacific Airlines Carried 27 Million Int. Passengers in February; Cargo Demand Up 10.2%  Aris Maroulis Joins TUMI as Vice President Asia-Pacific and the Middle East  AirAsia Malaysia to Resume Flights Between Kuala Lumpur and Vientiane, Laos  First Courtyard by Marriott Hotel in Western Australia Opens in Murdoch, Perth  Qantas Appoints Nick McGlynn as Executive Vice President - Asia  HotelREZ Renews Partnership with Sabre Hospitality  Marlon Abeyakoon Appointed GM of NH Collection Maldives Havodda Hotel  Amex GBT Signs Deal to Buy CWT  Korean Air Connects Cargo Booking System with DHL Global Forwarding  Sean Seah Returns to Langham as Senior Vice President - Strategy, Technology and Innovation  Radisson Targets 25 Hotels in Morocco by 2030; Expands Role of Erwan Garnier  Airbus to Enhance Cybersecurity Capabilities with Infodas Acquisition  Mandarin Oriental Exclusive Homes Adds 16-Bedroom Chateau in France to Portfolio  Korean Air to Order 33 Airbus A350 Aircraft  AAPA to Host Turboprop Safety Conference in Kuala Lumpur, Malaysia  Nassau, Bahamas to Host Routes Americas 2025 in February  FlyAngola Appoints APG as Offline GSA in Portugal  AirAsia Cambodia Prepares for Take Off  Alex Schellenberger Joins Mandarin Oriental as Senior Vice President Brand  Ethiopian Airlines Opens E-Commerce Logistics Facility at Bole Addis Ababa Airport  Routes Americas 2024 Taking Place in Bogota, Colombia  Air Botswana Appoints APG as GSA in 16 Markets  Korean Air to Resume More Flights; Increase Services to Select Destinations  WestJet Appoints APG as Representative in South Korea; Airline to Launch YYC-ICN Flights in May  Courtyard by Marriott Hotel Opens in Fukui, Japan  Rolls-Royce to Expand Engine Build and Services Capacity in UK and Germany  United Airlines to Launch Los Angeles - Shanghai Flights; Increase LAX - HKG Service  Nine Exclusive HD Video Interviews from Routes Asia 2024 in Langkawi, Malaysia  AirAsia X Launches Direct Flights Between Kuala Lumpur and Almaty, Kazakhstan  Singapore Airlines Revamps Premium Economy Class with New Menu and Amenity Kit  Amadeus Completes Acquisition of Voxel  Minor to Rebrand NH Museum Quarter Hotel in Amsterdam, Netherlands  U-Tapao Airport (UTP) in Rayong / Pattaya, Thailand - HD Video Interview with Ampika Chadawong  IndiGo to Launch Flights Between Mumbai and Colombo, Sri Lanka  Perth Airport (PER) in Western Australia - HD Video Interview with Stephanie Juszkiewicz  China Airlines to Launch Flights Between Taipei and Seattle, USA  TUMI Launches Capsule Collection in Partnership with NEOM McLaren Extreme E Team  AirAsia Malaysia to Resume Flights Between Kuala Lumpur and Pattaya, Thailand  Thai Airways to Launch Flights from Bangkok to Colombo, Kochi and Perth  Munich Airport (MUC) in Bavaria, Germany - HD Video Interview with Michael Haeffner  Japan Tourism, World Expo 2025 and Japan Expo 2025 - HD Video Interview with Akira Watabe of JNTO  BBN Airlines Indonesia Receives Additional AOC from DGCA  Vietnam Airlines to Launch Flights from HAN and SGN to Munich Airport in Bavaria, Germany  Sabre Launches Booking Solution for New and Independent Travel Consultants  AirAsia Malaysia Launches A321neo Flights Between Kuala Lumpur and Perth, Australia  Saudi Arabia's Air Connectivity Program - HD Video Interview with Rashed Alshammari, Vice President Commercial  Lui Chong Chee to Succeed Bob Tan as Chairman of the Boards of CapitaLand Ascott Trust  Sabah Tourism Board - HD Video Interview with Julinus Jeffery Jimit, Chief Executive Officer  Berlin Airport (BER) - HD Video Interview with Simon Miller, Senior Manager Market Intelligence  IndiGo to Launch Flights Between Chandigarh and Dharamshala, India  Skyco Partners Airbus; Orders Six H175 Helicopters  Jumeirah Appoints Michael Grieve as Chief Brand Officer  Cam Ranh Airport (CXR) in Nha Trang, Vietnam - HD Video Interview with Le Thi Hong Minh  Mercure Langkawi Pantai Cenang - HD Video Interview with Hotel GM, Jasmine Keh  Courtyard by Marriott Phnom Penh Appoints Lenen Mar Porras as ADOSM  United Confirms Flights to Cebu, Philippines as Airline Expands Network  Jumeirah Soft Opens First Hotel in Saudi Arabia  IHG Signs Two Luxury Hotels in KAFD Riyadh, Saudi Arabia  Qatar Airways' NDC Content Now Available on Travelport+  Estelle Vassallo Moves to Italy as GM of Anantara Convento di Amalfi Grand Hotel  Aviation: International RPK Up 20.8% in January 2024  Amora Completes Refurbishment and Rebranding of Hotel in Brisbane, Australia  Scoot Unveils Embraer E190-E2 Routes  IndiGo to Launch Flights from Jagdalpur to Hyderabad and Raipur  Thailand Travel Mart Plus (TTM+) 2024 Opens Online Registration for Buyers and Sellers  9 Exclusive Video Interviews with VIPs at ASEAN Tourism Forum 2024 in Vientiane, Laos  8 NTO Press Conferences from the ASEAN Tourism Forum 2024 in Vientiane, Laos  13 Exclusive HD Video Interviews from World Travel Market 2023 in London, England  5 Exclusive HD Video Interviews from APG World Connect 2023 in Monaco, France  15 Exclusive HD Video Interviews from Routes World 2023 in Istanbul, Türkiye  Electric Airport Taxis at Almaty Airport in Kazakhstan - Video Interview with Co-Founder  Pictures from Miss International Queen 2023 Transgender Beauty Pageant in Pattaya, Thailand  Exclusive Video Interviews with 17 Miss International Queen 2023 Contestants  Living With One Eye - Six Years On by Steven Howard  HD Videos and Interviews  Podcasts from HD Video Interviews  RSS Feed - Travel Industry News  Ticker - Travel Industry News  Travel Industry News Archives  Travel Trade Shows  High-Res Picture Galleries  Travel News Asia - Latest Travel Industry News 

Subscribe to our Travel Industry News RSS Feed Travel Industry News RSS Feed from TravelNewsAsia.com. To do that in Outlook, right-click the RSS Feeds folder, select Add a New RSS Feed, enter the URL of our RSS Feed which is: https://www.travelnewsasia.com/travelnews.xml and click Add. The feed can also be used to add the headlines to your website or channel via a customisable applet. Have questions? Please read our Travel News FAQ. Thank you.

     
Advertising
Advertising
Copyright © 1997-2024 TravelNewsAsia.com