KUALA LUMPUR— Global air cargo demand fell 13.6 per cent year-on-year (y-o-y) to 21.1 billion cargo tonne-kilometres (CTKs) in October 2022 as headwinds persisted.

The International Air Transport Association (IATA) said capacity contracted 0.6 per cent compared to a year earlier, marking the first y-o-y contraction in available cargo tonne-kilometres since April 2022.

“However, month-on-month capacity increased by 2.4 per cent in preparation for the year-end peak season,” it said in a statement.

The association said international cargo capacity grew 2.4 per cent compared to October 2021.

IATA director general Willie Walsh said air cargo continues to demonstrate resilience as headwinds persist.

“Cargo demand in October — while tracking below the exceptional performance of October 2021– saw a 3.5 per cent increase in demand compared to September.

“This indicates that the year-end will still bring a traditional peak-season boost despite economic uncertainties. But as 2022 closes out, it appears that the current economic uncertainties will follow into the new year and need continued close monitoring,” he said.

According to IATA’s data, Asia-Pacific airlines’ air cargo volumes decreased by 14.7 per cent y-o-y in October 2022. Compared to September 2022, there was a 10.7 per cent decline.

“Airlines in the region continue to be impacted by the war in Ukraine, and lower levels of trade and manufacturing activity due to Omicron-related restrictions in China,” IATA said.

Available capacity in the region decreased by 2.8 per cent compared to October 2021.

IATA added that new export orders, a leading indicator of cargo demand, are shrinking in all markets except China and South Korea, which registered slightly higher new export orders in October.

Source: NAM NEWS NETWORK