After a sluggish spell characterised by overcapacity and tepid demand, airfreight has taken off again. March saw an increase in global air cargo traffic by 14%, the fastest growth for the industry since October 2010. Since last autumn business has picked up, coinciding with broader improvement in global trading conditions.
The momentum slowed down a notch in April, with 8.5% growth, but the underlying fundamentals point to a solid base for an ongoing recovery.
Michael Steen, executive vice-president and chief commercial officer of Atlas Air Worldwide, the largest freighter-leasing firm, pointed to increased consumption, rising global trade and the strong momentum of e-commerce. “These are all snowballing now,” he said.
IATA predicts 7.5% growth for the full year, which is significantly better than the 3.5% average annual growth rate in the past five years. For the longer term, aircraft manufacturer Boeing projects annual average growth of 5.2% between 2015-2035.