The global air cargo sector experienced a remarkable 11.3% growth in demand in 2024, fueled by a surge in e-commerce and disruptions in ocean shipping.
This was disclosed in the International Air Transport Association (IATA) full-year and December 2024 air cargo market performance report, released on Wednesday.
IATA’s Director General, Willie Walsh, highlighted that the combination of strong e-commerce demand and ongoing ocean shipping restrictions played a pivotal role in driving the industry’s growth last year.
“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% year-on-year, was boosted by particularly strong e-commerce and various ocean shipping restrictions. This, combined with airspace restrictions which limited capacity on some key long-haul routes to Asia, helped to keep yields at exceptionally high levels,” Walsh said.
The report further revealed that the global air cargo demand growth of 11.3% recorded in 2024 surpassed the 2021 record levels. Capacity grew by 7.4%, and while yields were 1.6% lower than in 2023, they remained 39% higher than in 2019.
The air cargo market performance report for December 2024 showed continued strong growth, with global demand rising 6.1% year-on-year. Capacity increased by 3.7%, and cargo yields rose by 6.6% compared to December 2023, marking a 53.4% increase from December 2019.
However, key economic indicators signaled a slowdown, with the manufacturing output and new export orders indices falling below the critical 50 mark, pointing to declines in global production and exports. Inflation rates also rose in the US, EU, and China, raising concerns about global economic health.
The IATA report also detailed regional performances for the global air cargo market in 2024 and December 2024.
African airlines saw an 8.5% year-on-year growth in demand, with capacity increasing by 13.6%. However, December 2024 figures showed a slight decline in demand, dropping by 0.9%, the lowest among all regions, though capacity grew by 1.8%.
IATA’s Director General, Willie Walsh, forecasted a slowdown in growth for 2025, with a projected 5.8% increase, in line with historical trends. While falling oil prices and continued trade growth suggest a positive outlook, Walsh noted that the industry will face challenges from shifting geopolitical conditions, particularly the impact of tariffs.