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8/15/14

Air Freight Demand Increasing - IATA: "Growth in airfreight demand in 2014 supported by increased trade and business activity "

IATA stated year-on-year growth in global FTKs in 2014 was underpinned by improving global trade and stronger business activity. IATA director general and CEO Tony Tyler said overall cargo demand is clearly stronger than in 2013, with Asia Pacific and Middle East carriers benefiting most from improved market conditions.

Mr Tyler said Europe is "still in recovery mode" while the Americas remains a "weak spot."

Asia Pacific growth is expected to continue with on-going expansion in China's manufacturing sector. The reduced performance of European carriers may reflect weakness in recent manufacturing and export activity. Overall decreased performance from North American airlines may reflect weakness in trade volumes following severe weather events in 1st Q 2014, while recent data suggests stronger business activity, which may support improved airfreight volumes in the coming months.

Middle East carriers continue to expand strongly, capitalising on growth opportunities by expanding in emerging markets such as Uganda and Mexico.

Latin American airlines showed a sharp contraction in Jun-2014 and a decline in 1st half 2014 due to sluggish trade growth and weakness in Brazil's economy.

Growth for African carriers was affected by a slowdown in some regional economies, notably South Africa, but improving trade data suggests a more optimistic outlook for 2nd Half 2014..

EU-Digest


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