• Advertise
  • Contact Us
  • About Us
  • Supplier Directory
  • Login
  • Subscribe
  • Logout
  • My Profile

  • CORONAVIRUS
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Express/Small Shipments
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Sourcing/Procurement/SRM
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • SC Security & Risk Mgmt
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Robotics
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • REGIONS
    • Asia Pacific
    • Canada
    • China
    • Europe
    • Latin America
    • Middle East/Africa
    • North America
  • THINK TANK
  • WEBINARS
  • PODCASTS
  • VIDEOS
  • WHITEPAPERS
Home » Airfreight Markets See Strong Start to the New Year

Airfreight Markets See Strong Start to the New Year

March 7, 2014
IATA

Growth was solid across all regions, with Middle Eastern carriers growing the fastest (10.7 percent). European airlines continued to benefit from Europe's recovery from recession, posting 6.0 percent growth. Carriers based in the Asia-Pacific region, which account for nearly 40 percent of the global airfreight market, reported 3.8 percent growth. This represents a major improvement over the 1.0 percent contraction in 2013.

"The improvement in demand is good news. It is a step up in pace from the mild strengthening that we saw towards the second half of 2013. And in real terms, volumes are similar to the 2010 post-recession peak. But there is also ample reason to be cautious. Protectionist measures are part of the reason for a slower expansion of world trade than we would expect from current levels of industrial production. Companies continue to reorganize supply chains in their efforts to move manufacturing on-shore," said Tony Tyler, IATA's director general and CEO.

Regional analysis in depth:

"¢ Asia-Pacific carriers grew by 3.8 percent compared to January last year. Trade volumes in the region have rebounded as demand from Europe and North America for Asian manufactured goods improves. However, latest indicators show that the Chinese economy could be slowing down, which would impact air cargo in the coming months. In addition, with Chinese New Year falling on 31 January, there may be some impact on February volumes. Capacity grew considerably faster than demand, at 9.7 percent.

"¢ European airlines , responsible for 22.5 percent of airfreight, continued the momentum established in the second half of 2013, recording a 6.0 percent rise in FTKs compared to the previous January. Surveys of business activity in the Eurozone show the strongest rate of increase in two-and-a-half years. If these feed through into trade volume growth, then it should be positive for European air cargo in the coming months. Capacity was up just 3.8 percent, leading to a strengthening in the load factor to 45.6 percent.

"¢ North American airlines reported the weakest rise in volumes, just 0.7 percent, reflecting subdued January business activity. However, the underlying trend of manufacturing in the U.S. is positive, which should lead to an increase in exports. Capacity fell 0.9 percent.

"¢ Middle Eastern carriers once again grew the fastest, by 10.7 percent year-on-year. Volumes grew on the back of the growth in Europe and other regions. In addition, carriers in the region continue to expand their networks and capacity. Capacity growth, though, remained broadly in line with demand, increasing 11.5 percent.

"¢ Latin American carriers recorded solid growth of 6.8 percent compared to January last year, a welcome improvement after the slow growth of 2.4 percent in 2013. Expected growth in trade volumes should underpin further cargo expansion. But, weakness in Brazil, Latin America's largest economy, could dampen the growth potential in the region. Capacity fell 0.6 percent.

"¢ African airlines also grew ahead of the average trend in 2013, reporting a 4.1 percent rise in FTKs compared to a year ago. With signs of growth slowing in South Africa and other major regional economies, freight growth could still be sluggish over the next few months. Capacity grew almost in line with demand, expanding 3.9% compared to January 2013.

Source: IATA

RELATED CONTENT

RELATED VIDEOS

Air Cargo Logistics Global Logistics Transportation & Distribution Transportation Management Asia Pacific Canada China Europe Latin America Middle East/Africa North America
KEYWORDS Air Cargo Asia Pacific Canada China Europe Global Logistics IATA Latin America Logistics Logistics Management: Air Cargo logistics services Middle East/Africa North America Supply Chain & Logistics Supply Chain Management Transportation & Distribution transportation manageent Transportation Management world airfreight markets
  • Related Articles

    In Early 2013, Airfreight Markets Continue to See Strengthening in Demand

    Despite Some Bright Spots, Airfreight Industry Year Over Year Was Down Overall in July

    Tanker Rates Off to Good Start, But Could See Softening Later This Year

  • Related Directories

    Kuebix

IATA

World Air Cargo Symposium Set for Istanbul March 8-10

More from this author

Wake up to Coronavirus Updates and the latest Supply Chain News!

Subscribe to our Daily Newsletter

Timely, incisive articles delivered directly to your inbox.

Popular Stories

  • Coronavirus-watch-Armada

    Virus Update: J&J Pause Could Last Several Weeks; Global Vaccine Production Nears 2 Billion

    Coronavirus
  • Shipping Costs

    Higher Shipping Costs Are Here to Stay, Sparking Price Increases

    Coronavirus
  • Ocado

    Kroger Is Amassing a Robot Army to Battle Amazon, Walmart

    Logistics
  • Shipping Logjam

    Reducing Supply-Chain Disruptions Through Integrated Logistics

    Coronavirus
  • Indoor Farm

    Vertical Farming: A Solution to Waste and Inefficiency in the Food Supply Chain?

    Sustainability & Corporate Social Responsibility

Digital Edition

Scb feb 2021 lg

2021 Supply Chain Management Resource Guide

VIEW THE LATEST ISSUE

Case Studies

  • Remote Implementation: A Dose of the Right Medicine for B2B Pharmacy

  • LSP Saves Customer $1.5 Million a Year With MPO Global Inbound Management

  • Auto Supplier Wows Key Client Using riskmethods Supply Chain Savvy

  • Integrating Shipping and Compliance Saves Conglomerate Millions

  • How a Consumer Goods Giant Upped Its On-Time Delivery Performance

Visit Our Sponsors

Yang Ming 6 River Systems ArcBest
Armada aThingz BluJay
Burris Logistics DSC Logistics DCSA (Digital Container Shipping Association)
DHL Resilience360 Flash Global Genpact
Geodis GEP GreyOrange
Honeywell Corporate Honeywell Intelligrated Infor
Inmar Kibo Commerce Kinaxis
Logility Magnitude Software MPO
Old Dominion Oliver Wight OpenSky
Paccurate Ports America Purolator
QAD Precision Red Classic Riskmethods
S&H Systems Snapfulfil TGW Systems
Tradepoint Atlantic Transportation Insights Watson Land Company
Westfalia Technologies Workjam
  • More From SCB
    • Featured Content
    • Video Library
    • Think Tank Blog
    • SupplyChainBrain Podcast
    • Whitepapers
    • Webinars
  • Digital Offerings
    • Digital Issue
    • Subscribe
    • Manage Your Subscription
    • Newsletters
  • Resources
    • Events Calendar
    • SCB's Great Supply Chain Partners
    • Supplier Directory
    • Case Study Showcase
    • Supply Chain Innovation Awards
    • 100 Great Partners Form
  • SCB Corporate
    • Advertise on SCB.COM
    • About Us
    • Privacy Policy
    • Contact Us
    • Data Sharing Opt-Out

All content copyright ©2021 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

Design, CMS, Hosting & Web Development :: ePublishing