The International Air Transport Association (IATA) released data for June 2025 global air cargo markets showing how total demand, measured in cargo tonne-kilometers (CTK), rose by 0.8 percent compared to June 2024 levels.
At the same time, capacity as measured in available cargo tonne-kilometers (ACTK) was up 1.7 percent from June 2024.
IATA director-general Willie Walsh remarked: “Overall, air cargo demand grew by a modest 0.8 percent year-on-year in June, but there are very differing stories behind that number for the industry’s major players. Trade tensions saw North American traffic fall by 8.3 percent and European growth stagnate at 0.8 percent. But Asia-Pacific bucked the trend to report a nine percent expansion. Meanwhile, disruptions from military conflict in the Middle East saw the region’s cargo traffic fall by 3.2 percent.”
Stability and predictability are necessary for growth
Walsh consequently pointed out how the June air cargo data made it very clear that stability and predictability are essential supports for trade.
He said: “Emerging clarity on US tariffs allows businesses greater confidence in planning. But we cannot overlook the fact that the deals being struck are resulting in significantly higher tariffs on goods imported into the US than we had just a few months ago.”
Walsh warned that the economic damage of these cost barriers to trade remains to be seen.
In the meantime, governments should redouble efforts to make trade facilitation simpler, faster, cheaper and more secure with digitalisation.
Given this scenario, several factors in the operating environment should be noted:
- Year-on-year, world industrial production rose 3.2 percent in May and global goods trade grew by 3.5 percent;
- The June jet fuel price was 12 percent lower year-on-year, a fourth consecutive year-on-year monthly decline. It was, however, 8.6 percent up on May prices; and
- Global manufacturing rebounded in June, with the PMI rising above the 50 mark to 51.2. The PMI for new export orders improved by 1.2 index points but remained in negative territory under pressure from recent US trade policy shifts.
Regional performance as of end-June 2025
Asia-Pacific airlines saw year-on-year demand growth of nine percent for air cargo in June, the strongest growth of all regions, while capacity increased by 7.8 percent year-on-year.
North American carriers saw an 8.3 percent year-on-year decrease in growth for air cargo in June, the slowest growth of all regions; plus, capacity dropped by 5.1 percent year-on-year.
European carriers, on the other hand, saw 0.8% year-on-year demand growth for air cargo in June, while capacity increased 2.6 percent year-on-year.
Middle Eastern carriers likewise saw a 3.2 percent year-on-year decrease in demand for air cargo in June while capacity increased by 1.5 percent year-on-year.
Meanwhile, Latin American carriers saw a 3.5 percent year-on-year increase in demand growth for air cargo in June even as capacity decreased by 0.4 percent year-on-year.
Finally, African airlines saw a 3.9 percent year-on-year increase in demand for air cargo in June, and capacity up by 6.2 percent year-on-year.
With regard to trade lane growth, air freight volumes in June 2025 increased for major trade corridors from/within Europe and Middle East-Asia.
However, other relevant trade routes from/within Asia and from North America have decreased significantly in the most recent month.
