Asia Pacific airlines saw another month of cargo decline in November as demand further declined amid persisting economic challenges.
The Kuala Lumpur-based Association of Asia Pacific Airlines (AAPA) said Asia Pacific airlines saw international air cargo demand — measured in freight tonne-kilometres (FTK) — drop by a further 19.2% year-on-year in what would usually be a peak season month.
This follows a 13.9% decline recorded in October.
"The air cargo business segment faced further weakness in demand conditions. Amid still elevated cost pressures, declining new export orders precipitated a steep 19.2% year-on-year decline in international air cargo demand, as measured in freight tonne kilometres (FTK) in November," AAPA said.
Offered freight capacity also fell by 7.6% year-on-year, leading to a 9.3 percentage point drop in the average international freight load factor to 63.9% for the month.
"International air cargo demand declined by 6.9% during the first eleven months of the year, affected by the continued downturn in the global manufacturing sector as a result of inflationary pressures and depressed business confidence levels," commented said Subhas Menon, director general of AAPA.
In contrast, Asia Pacific airlines saw continued robust growth in passenger numbers.
AAPA said this is driven by the ongoing strong revival in both leisure and business travel demand as a result of the progressive lifting of travel restrictions in the region.
A combined total of 13.4 million international passengers were carried by the region's airlines in November, 7.6 times more than the 1.8 million recorded in the same month last year with an international passenger load factor of 77.4% for the month, close to levels achieved in pre-pandemic 2019.
Looking ahead, Menon said, "despite a clouded macroeconomic outlook, the strong need for connectivity and desire to travel will drive further recovery in the region's international travel markets over the year ahead."
"Notably, the recent reopening of China's borders with quarantine-free travel after nearly three years of strict virus containment policies will markedly improve demand prospects, given China’s significant trade and tourism links with the region’s economies and beyond," the AAPA chief added.
