Global Air Cargo Demand Insights
The International Air Transport Association (IATA) shared its latest report on air cargo markets for March 2025, announcing a 4.4% increase in demand measured in cargo tonne-kilometers (CTK) compared to the previous year.
This figure sets a record high for the month of March in the air cargo sector, signaling a vigorous performance in comparison to March 2024.
Simultaneously, capacity, calculated through available cargo tonne-kilometers (ACTK), saw a 4.3% increase over the same time period.
Director-General Willie Walsh highlighted the strong cargo volumes and implied that businesses might have rushed to meet the expectations before upcoming increases in tariffs announced for April 2. He expressed that current lower fuel costs could serve as a temporary boost for the air cargo market.
Important Observations
Several key points were noted regarding operational conditions:
- March typically sees a rise in volumes after a dip in February.
- Jet fuel prices have tumbled by 17.3% year-on-year, marking nine months of consistent decline.
- The spike in US tariffs and novel trade regulations may push businesses to acquire goods early to evade the impending fees.
Regional Performance
- Asia-Pacific airlines reported a 9.6% year-on-year increase in demand.
- North American carriers exhibited a 9.5% rise in demand.
- European carriers had a growth of 4.5%.
- Conversely, Middle Eastern carriers experienced a -3.2% decline in demand.
- Latin America showcased a 5.8% growth.
- African airlines faced a -13.4% decrease.
For trade routes, the Europe-North America corridor ranked as the most active trade route in March. Notably, the Asia-North America line also saw significant growth, largely due to precautionary frontend shipments.
