Global demand, measured in cargo tonne-kilometers , was 6.2 per cent below previous-year levels in October . That is an improvement from the 7.8 per cent year-on-year drop recorded in September. However, the pace of recovery in October was slower than in September with month-on-month demand growing 4.1 per cent .
Global capacity, measured in available cargo tonne-kilometers , shrank by 22.6 per cent in October compared to the previous year. That is nearly four times larger than the contraction in demand, indicating the continuing and severe capacity crunch. Improving performance is aligned with improvements in key economic indicators. The new export orders component of the manufacturing Purchasing Managers’ Index stayed above the 50-mark for the second month in a row. Results above 50 indicate economic growth.
IATA’s Director General and CEO, Alexandre de Juniac said demand for air cargo is coming back—a trend continuing into the fourth quarter.
Source: Financial Digest (financialdigest.net)