Carriers in the Middle East saw a 15.3 percent annual growth in demand for air cargo in May as the sector benefitted from trade growth, booming e-commerce, and capacity constraints on maritime shipping.
The latest data from the International Air Transport Association (IATA) reveals that the capacity of Middle East carriers rose 2.7 percent year-on-year in May. The Middle East-Europe market performed particularly well with a 33.8 percent annual growth, ahead of Middle East-Asia, which grew by 18.6 percent year-on-year.
The report also reveals that Middle East carriers handled 13.5 percent of the overall cargo globally.
Global demand surges
Total demand for air cargo rose 14.7 percent annually in May, marking the sixth consecutive month of double-digit annual growth. Meanwhile, capacity increased by 6.7 percent compared to May 2023. In international operations, demand rose 15.5 percent while capacity increased by 10.2 percent.
“Air cargo demand moved sharply upwards in May across all regions. The outlook remains largely positive with purchasing managers showing expectations for future growth. Some dampening, however, could come as the US imposes stricter conditions on e-commerce deliveries from China,” stated Willie Walsh, IATA Director General.
Read: Qatar Airways sees strongest financial year, profit up 39 percent to $1.7 billion in 2023-2024
African carriers see strongest demand
African carriers witnessed the largest increase in demand for air cargo in May, rising 18.4 percent year-on-year. Meanwhile, their capacity increased by 21.4 percent year-on-year in May. Demand in the Africa-Asia market saw a 40.6 percent increase compared to May 2023, the strongest performance of all trade lanes.
Following closely came Asia-Pacific airlines which saw a 17.8 percent year-on-year demand growth for air cargo and an 8.4 percent increase in capacity. European carriers saw a 17.2 percent year-on-year demand growth for air cargo in May and an 11.9 percent increase in capacity. Latin American carriers saw a 12.7 percent year-on-year demand growth for air cargo in May while their capacity increased 8.0 percent year-on-year.
The region with the lowest rate of growth in May was North America, with carriers seeing an 8.7 percent increase in demand and a 2.5 percent increase in capacity.
The Asia-Pacific region maintained its highest share of global air cargo at 33.3 percent. Then came North America with a 26.9 percent share and Europe with a 21.4 percent share.
For more news on logistics, click here.
