IATA reports record year for air cargo demand in 2024

Air cargo demand for 2024 exceeded the record volumes set in 2021 by 0.5 per cent, helped by high e-commerce volumes and ocean shipping constraints, according to IATA.

That made interesting reading for the U-Freight Group with our strong presence in the expedited international airfreight arena

The airline association’s full-year data showed that demand for 2024, measured in cargo tonne-kilometres (CTK), increased 11.3 per cent compared to 2023.

Additionally, full-year yields averaged 1.6 per cent lower than in 2023 but were 39 per cent higher than in 2019, pointed out IATA.

Full-year capacity in 2024, measured in available cargo tonne-kilometres (ACTK), increased by 7.4 per cent per cent compared to 2023, reports London’s Air Cargo News.

Though growth had started to slow down in November, air cargo demand continued its upward trajectory in December, with global CTK rising 6.1 per cent year on year, marking 17 consecutive months of growth.

However, after seasonal adjustments, demand showed a moderate uptick of 0.9 per cent month on month.

Global capacity was 3.7 per cent above December 2023 levels. Cargo yields were 6.6 per cent higher than in December 2023 and 53.4 per cent higher than in December 2019.

“Air cargo was the standout performer in 2024 with airlines moving more air cargo than ever before. Importantly, it was a year of profitable growth. Demand, up 11.3 per cent year on year, was boosted by particularly strong e-commerce and various ocean shipping restrictions,” said Willie Walsh, IATA’s director general.

“This combined with airspace restrictions which limited capacity on some key long-haul routes to Asia helped to keep yields at exceptionally high levels. While average yields continued to soften from peaks in 2021-2022, they averaged 39 per cent higher than 2019.”

IATA added in its air cargo market analysis briefing for the end of the year: “In 2024, the air cargo industry has made significant strides, with demand rising 11.3 per cent compared to 2023. This marked a new historical peak, exceeding 2021 volumes by 0.5 per cent, previously the highest on record.

“The industry showed strength despite complex challenges, ending the year on a high note with promising momentum. Global events like the Ukraine war and Middle East conflicts restricted airspace, increasing fuel costs.”

As previously reported, IATA estimates growth of 5.8 per cent this year, but geo-political issues could dampen performance.

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