Subscribe to our free, weekly email newsletter!


IATA notes decline in Asia Pacific air cargo volume

While air freight markets continued their decline in line with weak economic performance and falling business confidence, the biggest surprise may have occurred in the Asia Pacific martket.
By Patrick Burnson, Executive Editor
January 04, 2012

The International Air Transport Association (IATA) announced global traffic results for November showing a weaker air cargo market compared to levels attained earlier in the year.

Freight markets were 3.1 percent below November 2010 levels despite a 1.1 percent increase on October 2011 performance.

“Weak global economic performance is being reflected in air transport markets,” said Tony Tyler, IATA’s Director General and CEO. “Freight markets have contracted some 4 percent compared to January. Although passenger markets have had some growth relative to the beginning of the year – about 2 percent – the trend has been both soft and volatile. Continuing economic uncertainty will likely mean market shortcomings deepening as we enter 2012.”

While air freight markets continued their decline in line with weak economic performance and falling business confidence, the biggest surprise may have occurred in the Asia Pacific martket. Here, said analysts, growth was expected to remain strong.

According to Jim Edgar, regional director of cargo marketing for Boeing World, air cargo traffic will triple over the next 20 years and cargo rates should mirror demand during this time period.

“From now through 2029, we expect world air cargo traffic to grow at an annual rate of 5.9 percent,” says Edgar. “And Asia will continue to be at the forefront of the air cargo industry. Routes associated with Asia will continue to experience the world’s highest growth rates over the next 20 years, at 6.8 percent.”

Alas, IATA has found that Asia-Pacific carriers have seen the weakest demand performance driven by falling demand for Asian manufactured goods from U.S. and European consumers. The region’s carriers saw the market decline by 6.4 percent.

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

“U.S. Port Update: Investing in the Future” will feature a panel of three industry leaders from the East Coast, Gulf, and West Coast discussing their relative challenges and opportunities.

Zebra gains instant access to complimentary technologies. But first, it needs to integrate a former partner that is 2-1/2 times its size.

The U.S. Army Corps of Engineers issued a final Chief’s Report approving the Jacksonville Harbor Deepening Project, clearing the way for congressional authorization in an upcoming Water Resources Development Act.

Logistics Management Group News Editor Jeff Berman recently caught up with Doug Waggoner, CEO of Echo Global Logistics, a non-asset based freight brokerage company and a provider of technology-enabled transportation and supply chain management services on various topics impacting freight transportation and logistics.

Carloads—at 295,294—were up 7.2 percent annually, and intermodal trailers and containers were up 9.3 at 264,382.

Article Topics

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

Comments

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


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA