IATA: Airfreight volumes stabilize after July decline

Year-over-year cargo volumes were relatively flat in August, an improvement from the 0.6 percent contraction in July, but volumes are still down 2 percent from the end of 2014, according to the International Air Transport Association.    Airfreight volumes grew 0.2 percent in August compared with August 2014, according to the latest figures from The International Air Transport Association (IATA).
   Although growth was relatively flat, this represented an improvement after cargo volumes dropped 0.7 percent year-over-year in July. IATA noted airfreight growth varied widely by region.
   Middle Eastern carriers saw the most significant growth, with cargo volumes increasing 10.4 percent year-over-year in August, followed by airlines in Africa, up 2.3 percent, and those in Europe, up 0.7 percent.
   Meanwhile, Latin American airfreight carriers reported the largest loss of all regions, with volumes falling 7.3 percent, while Asia Pacific and North American airlines carriers saw volumes dip 1 percent and 3.3 percent, respectively.
   Airlines North America have seen volumes fall consistency since the clearing of congestion at West Coast ports as shippers return to ocean freight. “More fundamentally, any improvement in economic performance does not appear to be driving stronger air freight demand,” said IATA.
   Although the contraction in Asia Pacific demand was smaller than in July, when airfreight volumes fell 2.0 percent, the continued decline in export orders for Chinese manufacturing may cause negative growth to continue as the year goes on, the association added.
   “After declines in June and July, signs of a stabilization in air cargo are welcome. But all is not well,” IATA Director General and CEO Tony Tyler said in a statement. “Total volumes are down 2 percent compared to the end of 2014.
   “And some of the key reasons for the earlier weakness – for example, downgraded growth expectations in emerging Asia, and the rebalancing of the Chinese economy toward domestic consumption – are still there. Even though world trade volumes have slightly picked up, the industry will have to work hard to match the strong finish to 2014.”