Logistics - Global Air Freight Demand Slows
Global air freight markets in August 2019 declined 3.9 percent from the same month a year before, according to new data from the International Air Transport Association (IATA).
It's the tenth consecutive month of year-on-year declines, the longest such period since the global economic crisis of 2008. Simultaneously, freight capacity increased by two percent in the same month, marking the 16th consecutive month that capacity growth outstripped demand.
The IATA's Director General and CEO Alexandre de Juniac explains, "The impact of the US-China trade war on air freight volumes was the clearest yet in August. Year-on-year demand fell by 3.9 per cent. Not since the global financial crisis in 2008 has demand fallen for 10 consecutive months. This is deeply concerning. And with no signs of a detente on trade, we can expect the tough business environment for air cargo to continue. Trade generates prosperity. Trade wars don't. That's something governments should not forget."
If not parcels, then people. The IATA says global passenger traffic data for August 2019 climbed 3.8 percent compared to the year-ago period. That beat the 3.5 percent annual increase for July.