Air Freight Makes Slow Start In 2015, Says IATA
March 03, 2015 19:25 PM
KUALA LUMPUR, March 3 (Bernama) -- The International Air Transport Association's (IATA) data for global air freight markets showed a slower growth of 3.2 per cent in freight tonne kilometres (FTKs) in January 2015 compared to the same month last year.
In a statement today, it said the growth was slower than the average of 4.5 per cent recorded for 2014.
There was much regional variation in the January performance with Asia-Pacific, African and Middle Eastern airlines expanding strongly while airlines in Europe and North and Latin America all reported demand contractions, said IATA.
Asia-Pacific carriers grew their FTKs by 6.9 per cent, African airlines grew cargo volumes 5.2 per cent and Middle Eastern carriers expanded FTKs 9.2 per cent while European airlines' volumes fell 1.2 per cent compared to January 2014.
IATA said although it is too early to be certain of a trend towards weaker air freight, two factors could negatively impact demand for air cargo in the coming months -- decline in business confidence since mid-2014 and export orders towards the end of the year, and a reversal of the positive trade-to-domestic production ratio which boosted cargo volumes last year.
"January was a disappointing start to the year for air cargo and it is difficult to be too optimistic about the rest of the year given the economic headwinds in Europe and growing concerns over the Chinese economy.
"Add to that the continuing trends of on-shoring production and trade protectionism, and 2015 is shaping up to be another tough year for air cargo," said IATA Director General and Chief Executive Officer Tony Tyler.