Global air cargo demand grew by 3.2% in January 2025 compared to the same period in 2024, marking 18 consecutive months of growth.
Capacity also expanded by 6.8% year-on-year, reflecting continued recovery and growth in the sector.
This indicates that more goods were transported by air, and airlines made more space available to meet rising demand.
The data was obtained from the International Air Transport Association’s (IATA) report on January 2025 global air cargo markets.
“Total demand, measured in cargo tonne-kilometers (CTK), rose by 3.2% compared to January 2024 levels (3.6% for international operations) for an 18th consecutive month of growth.
“Capacity, measured in available cargo tonne-kilometers (ACTK), increased by 6.8% compared to January 2024 (7.3% for international operations),” the IATA report read in part.
IATA reported that international operations showed slightly stronger performance, with demand increasing by 3.6% and capacity rising by 7.3%. However, the growth rate moderated compared to the double-digit peaks seen in 2024.
Additionally, yields fell by 9.9% from December, meaning airlines earned less per unit of cargo, and cargo load factors dropped by an average of 1.5 percentage points, indicating a smaller proportion of available space was filled.
Willie Walsh, IATA’s Director General, noted that while external factors such as trade growth, declining fuel costs, and expanding e-commerce remained positive for air cargo, market conditions could be influenced by potential tariff-driven trade policies from the US Trump Administration.
“Fortunately, the air cargo industry is well practiced at dealing with shifts in the operating environment,” he added.
More insight
The report further highlighted that global economic indicators showed a supportive environment for air cargo in January.
- Industrial production rose by 2.6% year-on-year in December, and global goods trade marked its ninth consecutive month of growth with a 3.3% increase.
- The Purchasing Managers Index (PMI) for global manufacturing output was above the 50-mark, indicating expansion, while new export orders approached the growth threshold.
However, inflation remained a concern. In January, consumer inflation in the US and Europe rose by 0.1 percentage point to 3.0% and 2.8%, respectively. Chinese consumer inflation also rebounded to 0.5% after a downward trend over the previous four months.
- Regionally, Asia-Pacific airlines saw the highest demand growth, recording a 7.5% year-on-year increase in January, with capacity rising by 10.9%. North American carriers followed with a 5.3% growth in demand and a 7.5% increase in capacity.
- European carriers reported a modest 1.3% increase in demand, accompanied by a 3.5% rise in capacity. In contrast, Middle Eastern carriers experienced an 8.4% decline in demand, the sharpest drop among all regions, with a 1.2% decrease in capacity.
- Latin American airlines recorded the strongest demand growth among all regions, with an 11.2% year-on-year increase and a 10.6% rise in capacity. Meanwhile, African airlines saw a 3.4% decline in demand, despite a 5.4% increase in capacity.
The report indicated that while global air cargo demand continued to grow, the pace of expansion moderated from the peaks observed in 2024. IATA advised stakeholders to closely monitor market conditions, especially given the potential impact of evolving trade policies.
