GoDubai
  
  
  
  
Citylife > Press Release
  Home Contact us Add to Favourites
Most Recent Postings
More Press Releses
Featured Sections

Event Finder
A daily roundup of exhibitions, promotions and other events in Dubai and the rest of the Emirates.
Submit an Event
Latest Dubai Press Releases >> Travel and Tourism

 
  Share

Dubai, UAE, September 6, 2017: The International Air Transport Association (IATA) released data for global air freight markets showing that demand, measured in freight tonne kilometers (FTKs), increased by 11.4% in July 2017 compared to the same period a year ago. This was the fourth time in five months that double-digit annual growth was recorded. July's year-on-year increase in demand is nearly four times higher than the ten year average growth rate of 3.1%.

Freight capacity, measured in available freight tonne kilometers (AFTKs), grew by 3.7% year-on-year in July 2017. Demand growth continues to significantly outstrip capacity growth, which is positive for airline yields and the industry's financial performance.

The robust growth in air cargo demand is consistent with an uptick in global trade, rising export orders and upbeat business confidence indicators. There are, however, signs that demand growth for air freight may be nearing a peak. Seasonally-adjusted air freight volumes were flat in June and fell in July; and the global inventory-to-sales ratio has stabilized. Air cargo often sees a boost in demand at the beginning of an economic upturn as companies look to restock inventories quickly. This tapers as inventories are adjusted to new demand levels.

“July was a strong month for air cargo with double-digit growth. And for the third consecutive month demand for air freight grew at a faster pace than demand for air travel. While the outlook for the rest of the year remains positive, there are signs that the cyclical growth period may be nearing a peak,” said Alexandre de Juniac, IATA's Director General and CEO.

Air freight market detail - July 2017

World
Share1
July 2017(% year-on-year)
FTK AFTK FLF (%-pt)2 FLF (level)3
TOTAL MARKET 100.0% 11.4% 3.7% 3.0% 43.7%
Africa 1.6% 33.7% 4.5% 4.9% 22.5%
Asia Pacific 34.7% 11.0% 6.3% 2.3% 55.0%
Europe 23.5% 12.1% 5.5% 2.6% 44.2%
Latin America 2.8% 5.8% 4.7% 0.3% 30.6%
Middle East 13.9% 9.3% -0.4% 3.9% 43.6%
North America 20.7% 11.9% 1.1% 3.4% 34.9%

1% of Industry FTKs in 2016 2Year-on-year change in load factor 3Load factor level

Regional Performance

All regions posted robust freight growth in July 2017.

Asia-Pacific airlines' freight volumes grew 11% in July 2017 compared to the same period a year earlier and capacity increased by 6.3%. Demand growth was robust on all the major routes to, from and within the region. Seasonally-adjusted international freight volumes fell slightly in July but remain more than 3% above the volumes reached following the 2010 post-global financial crisis bounce-back.

North American carriers posted an increase in freight volumes of 11.9% in July 2017, and a capacity increase of 1.1%. Seasonally-adjusted international freight volumes continued their strong upwards trend. The strength of the US dollar has boosted the inbound freight market over the past few years. Data from the US Census Bureau showed a 12.5% increase in air imports to the US in the first half of 2017. However, the decline in the US dollar since the start of the year is likely to help rebalance trade flows.

European airlines posted a 12.1% increase in freight demand in July 2017 and a capacity increase of 5.5%. Double-digit growth in international demand has now been recorded in nine out of the past eleven months bolstered by strong demand on the Europe-Asia market. While export orders remain strong the recent strengthening of the Euro may begin to weigh upon the region's exporters.

Middle Eastern carriers' year-on-year freight volumes increased 9.3% in July 2017 and capacity decreased 0.4%. Seasonally-adjusted international freight volumes have maintained their solid upward trend. However, amid strong competition from other region's carriers particularly on the Asia-Europe route, the Middle East carriers are not seeing as strong a pickup in the seasonally adjusted traffic trend as other region's carriers.

Latin American airlines experienced a growth in demand of 5.8% in July 2017 compared to the same period in 2016. Capacity increased by 4.7% over the same period. Seasonally-adjusted international freight volumes grew strongly in July 2017 however they remained 9% lower than at the peak in 2014. The region continues to be impacted by challenging economic and political conditions, particularly in the largest economy, Brazil.

African carriers posted the largest year-on-year increase in demand of all regions in July 2017 with freight volumes growing 33.7% - the second fastest monthly rise in seven years. Capacity increased by 4.5% over the same time period. Demand has been boosted by very strong growth on the trade lanes to and from Asia which increased 80% year-on-year in June (latest available data) and by 65% in the first half of the year.



Posted by : GoDubai Editorial Team
Viewed 6722 times
Posted on : Wednesday, September 6, 2017  
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of GoDubai.com.
Previous Story : British Airways' Top Five Autumn Getaways
Next Story : UAE Space Agency Discusses Collaboration With The International Astronautical Federation
Email this article Print this article

Share this article with your friends and followers
NewsVine

Comments

Back to Top  
Most Viewed Press Release posted in the last 7 days
SOUQ.com to Launch Half a Million Deals for White Friday 2017
Roja Parfums ELYSIUM - Now available at Paris Gallery in UAE
Give the Gift of Beautiful Hair with SHOW Beauty
PLAY FOR PEACE, Spread Good Vibes this Christmas
Runway Dubai Wrapped up an inspiring star studded event with iconic designer, Wa...
Celebrating regional artistry, creativity and talent through a passion for makeu...
FOREO: Futuristic Gifting Ideas
Six pairs of Emirati siblings marched together at Skyline's 27th Graduation Ceremony
Infinix Launches Zero 5 in Dubai in Partnership with Souq.com
TKD Lingerie: New lingerie treats for the holidays
Stylish automatics from CITIZEN made for the special occasion
Santa Claus is coming to town on a festive Graham Chronofighter Vintage Nose Art Ltd
Alessandro International mystifies with its launch event for its Winter Collection
Tissot Chrono XL - It's time to think big!
Alpha Assured Assistance (AAA) Loyalty Program to ramp up loyalty landscape in t...
ALWAYS TOP OF THE CHARTS: THE ICONS
Tub Of Butter Celebrates First Birthday with 1 Dhs Coffee
Ulysse Nardin Marine Torpilleur Military - The Mark of A Captain
SAINT HONORE Celebrates the UAE's 46th National Day with a Limited Edition Hauss...
SOUQ ramps up operations ahead of White Friday Sale
Experience the best of Korean beauty with Missha
Dubai RAK Diabetes Center launches Dhs 1 Diabetes screening for residents
Make Room for Play and Celebration With IKEA During Dubai Design Week
Dubai Shines as Global Industry Descends on Vod Dubai International Jewellery Show
Dubai Sports Council Championship for Football Academies set for a “bigger and b...
H.H. Sheikh Hamdan bin Zayed Al Nahyan Tours the Barakah Nuclear Energy Plant
Chattels & More returns to Downtown Design showcasing limited edition pieces whi...
50 Years of Puma Suede: PUMA Brings It for the Culture With the B-boy Pack
LG Unveils Expanded Medical Imaging Product Lineup at Medica 2017
Godiva Arabia opens its 17th branch in the UAE
Toyota goes Xtreme with Land Cruiser, FJ Cruiser and Fortuner
Dubai Festival City Reveals Highlights of the Dubai Fitness Challenge Closing Ce...
Premium Beverages Maker Hielo Beverages India Forays into Dubai(UAE)
Wataniya Airways to add 25 A320neo Family aircraft
Fashion Forum by College of Fashion Design (CFD)
Dubai Customs' Smart Refund initiative to the finals of “Smart Government” program
Dubai non-oil foreign trade increases by 13% year-on-year in the third quarter o...
Schneider Electric at ADIPEC 2017: Real-time Data to Revolutionise Oil and Gas I...
ADFD, IRENA Open New Round of Funding for Renewable Energy Projects in Developin...
New Intelligent Huawei Phone Wows UAE's Most Stylish at Arab Fashion Week
ADSB successfully expands into oil and gas industry despite low oil prices
Non-Muslims to secure inheritance distribution through RAK ICC registered Wills
Abu Dhabi Residents Learn About Nuclear Energy and Latest Project Updates at ENE...
Khalifa University Showcases Research Projects in Oil and Gas Sector at ADIPEC 2017
Steel Alliance Against Counterfeiting: “Risks posed by counterfeiting put the wh...
Augmented Reality safety glasses eye Middle East debut at Intersec 2018
Schneider Electric at ADIPEC 2017: Real-time Data to Revolutionise Oil and Gas I...
Etisalat UAE conducts first VoLTE call over Cat-M1 IoT network in the region
Better Life launches new retail strategy focused on kitchen appliances
Lexus launches reimagined flagship, all-new 'LS' in the UAE