Passenger demand growth stays strong:IATA
Geneva – The International Air Transport Association (IATA) announced global passenger traffic results for August showing a strengthening of the healthy demand trend of the last few months. Total revenue passenger kilometers (RPKs) rose 6.8% compared to August 2012. Capacity increases over the year-ago period lagged demand at 5.6%. This pushed the load factor to match the record high of 83.4% set in July 2011.
“August was a positive month for passenger travel. Strong demand and capacity discipline saw load factors match the previous record high of 83.4%. The solid performance was also supported by a stabilization of emerging market weakness and renewed confidence in Europe and North America. Trading conditions are still tough with high oil prices, stiff competition and regulatory hurdles. But demand growth remains a bright spot with most indications pointing towards an acceleration in the fourth quarter,” said Tony Tyler, IATA’s Director General and CEO.
Likewise , IATA reported a continued modest improvement in air cargo markets in August. August air freight demand was up 3.6% on the previous year. That is considerably better than year-to-date performance of a 0.7% expansion.
Demand for air freight began increasing slowly from April, in line with strengthening business confidence, as economic performance in Europe and the US showed signs of improvement. The Eurozone economy, for example, stabilized in the second quarter of 2013 and import volumes have improved. A strong upswing, however, would require a significant improvement in the cargo performance of airlines in the Asia-Pacific region. They are the largest players in global air cargo with a collective 38% market share. Their year-on-year performance for August was basically flat (-0.2%).
