Global air freight still flourishing
The International Air Transport Association (Iata) released data for global air freight markets showing that demand, measured in freight tonne kilometres (FTKs), rose by 5.9% in October 2017 year-on-year. It was a slowdown from the 9.2% annual growth recorded in September 2017, but still exceeded the average annual growth rate of 3.2% over the past decade.
Growing for the 15th consecutive month, freight capacity rose by 3.7% year-on-year in October. While cargo demand remains strong, several indicators, like the inventory-to-sales ratio in the USA, the new export orders component of the global Purchasing Managers’ Index or the trend in seasonally-adjusted freight volumes, show that the growth peak may have been passed.
Freight volumes are still expected to grow in 2018, although at a slower pace than in 2017. (ah)