-x-large.webp)
Asia Pacific airlines saw another month of cargo decline in September as market pressures continued to pile on the already weak demand for air shipments.
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) — decline record a "double-digit decline" of 10.4% year-on-year in September.
This comes as APAC airlines have already been recording declines in cargo volumes since March after 14 consecutive months of growth. In August, Asia Pacific airlines saw demand drop 7.9% year-on-year.
"International air cargo markets remained under pressure, as export activity was hampered by depressed business and consumer confidence levels amid a deterioration in global macroeconomic conditions," said Subhas Menon, director general, of AAPA.
The AAPA report noted that freight capacity offered, on the other hand, expanded by 5.9% for the month, with the ongoing recovery in commercial passenger operations adding available bellyhold space in the market.
Subdued market outlook in the short term
This led to an 11.6 percentage point fall in the average international freight load factor to 64.0%.
"[The] 4.4% decline in air cargo demand was registered in the same period. The outlook for the cargo market remains subdued in the near term," Menon said.
"Overall, the region's airlines continue to face a challenging operating environment, with operating costs under pressure as a result of high fuel prices and weak local currencies," the AAPA chief added.
September's cargo performance is in contrast with the recovery seen in passenger numbers in the region for the month.
AAPA noted that for the month, international passenger demand sustained its strong upward momentum despite a worsening global economic outlook driven by the significant easing of border restrictions across most of the region's economies which ushered in a robust return of business and leisure travellers.
In September, the number of international passengers carried by the region's airlines surged to 11.7 million, from the 1.4 million registered in the previous corresponding period, bringing volumes to an average 39% of the same month in 2019.
