Subscribe to our free, weekly email newsletter!


IATA survey demonstrates renewed confidence

The future appears to be particularly promising in the Asia Pacific market.
By Patrick Burnson, Executive Editor
July 21, 2010

Following its promising forecast made last month, the International Air Transport Association (IATA) is reporting a significant surge in air cargo demand. The future appears to be particularly promising in the Asia Pacific market.

Results from IATA’s quarterly survey conducted this month also indicate a further improvement in airline business confidence, said spokesmen. Survey respondents comprised airline CFOs and cargo executives.

Indeed, nearly 70 percent of respondents reporting improved profitability during the last quarter and a similar number expecting further improvement over the year ahead.

One finding that should come as no surprise: In the Americas and Asia Pacific, two-thirds of those surveyed expect further increases in profits.

While there is regional variation - largely in line with the strength of economic recovery being experienced - the majority of respondents in all regions report improvements during the last quarter and expect either stability or further improvement over the year ahead.

As reported in LM, IATA revised its June forecast for 2010 industry financial performance from a loss of $2.8 billion to a profit of $2.5 billion.

According to IATA researchers, confidence about further improvements in profitability over the twelve months remains high. Some regional variation remains, with Europe being the only region still registering possible profitability decreases - although that the overwhelming majority (80 percent) of European respondents are actually positive on prospects. In the Middle East two thirds of respondents expect ‘no-change’ in profitability indicating a fairly stable outlook.

About the Author

image
Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Last week, the United States Department of Transportation took further steps to address various issues identified in recent train accidents involving crude oil and ethanol shipped by rail. The announcement was made by DOT with other DOT agencies, including the Federal Railroad Administration (FRA) and the Pipeline and Hazardous Materials Safety Administration (PHMSA).

Logistics Management Group News Editor Jeff Berman had an opportunity to interview Derek Leathers, President and Chief Operating Officer of Werner Enterprises, at this month's NASSTRAC Shippers Conference and Transportation Expo in Orlando. They discussed various aspects of the truckload market, including prices, fuel, and regulations.

During this webcast our presenters will apply the findings of the 23rd Annual Trends & Issues in Transportation and Logistics Study to the world of shipper-carrier decision making. They'll examine the primary aspects that will influence the future direction for shipper-carrier decision-making.

For February, the month for which most recent data is available, the SCI dropped to -1.0 from January’s 2.6, with FTR explaining that the short term positive impact from one-time adjustments for rapidly dropping diesel prices and the suspension of the 2013 motor carriers hours-of-service expires later this year.

Seasonally-adjusted (SA) for-hire truck tonnage in March was up 1.1 percent on the heels of a revised 2.8 percent (from 3.1 percent) February decline, with the SA index at 133.5 (2000=100). This is off 0.3 percent from the all-time high for the SA of 135.8 from January 2015 and is up 5 percent annually.

Article Topics

News · Air Freight · Global Trade · Logistics · All topics

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA