Global air passenger demand grows 4% in July

By Mucahithan Avcioglu

ISTANBUL (AA) - Total air passenger demand around the globe was up 4% in July on a yearly basis, the International Air Transport Association (IATA) said on Friday.

Total air capacity, measured in available seat kilometers, expanded by 4.4% over the same period.

The load factor was at 85.5% in July, down 0.4 percentage points versus the same month last year.

The international passenger demand rose 5.3% in July, and domestic demand was up 1.9% on a yearly basis.

IATA’s Director General Willie Walsh said: "It’s been a good northern summer season for airlines. Momentum has grown over the peak season with July demand reaching 4% growth.

"That trend appears across all regions and is particularly evident for international travel, which strengthened from 3.9% growth in June to 5.3% in July."

He added that airlines are positioned to take advantage of the market momentum into the coming months, as flight volumes showed a 2% year-on-year increase for September after five months of decelerating growth.

- Air cargo demand

The IATA also said, in a separate press release on Friday, that total air cargo demand rose 5.5% year-on-year in July, despite trade disruptions.

Air cargo capacity, measured in available cargo ton-kilometers, expanded by 3.9%.

Walsh said that the most major trade lanes reported growth, with one significant exception: Asia–North America, where demand fell 1% year-on-year.

"A sharp decline in e-commerce, as the US de minimis exemptions on small shipments expired, was likely offset by shippers frontloading goods in advance of rising tariffs for imports to the US," he said.

Walsh added that August will likely reveal more clearly the impact of shifting US trade policies.