‘2019, Worst Year for Air Freight’

The International Air Transport Association( IA TA) has released its full-year 2019, data for global air freight markets, showing that demand, measured in freight ton ne kilometers( FT Ks ), fell by 3.3 percent compared to 2018. This was the first year of declining freight volumes since 2012, and the weak est performance since the global financial crisis in 2009( when air freight markets contracted by 9.7 percent ). According to the global body, in the month of December, 2019, cargo volume contracted by 2.7 percent year-on-year while capacity rose 2.8 percent. Air cargo performance in 2019 was dampened by weak growth in global trade of just 0.9 percent. The sector’ s under performance was also due in particular to slowing GDP growth in manufacturing-intensive economies. Soft er business and consumer confidence, along with falling export orders, also contributed to air freight struggles. According to the report, there were signs that confidence and orders could pickup in 2020. “It is too early to say what long-term effects will be seen from the impact of restrictions associated with com batting the corona virus outbreak. “Trade tensions are at the root of the worst year for air cargo since the end of the Global Financial Crisis in 2009. While these are ea sing, there is little relief in that good news as we are in unknown territory with respect to the eventual impact of the corona virus on the global economy. “With all the restrictions being put in place, it will certainly be a drag on economic growth. And, for sure ,2020 will be another challenging year for the air cargo business ”, said I AT A’ s Director General and CEO, Alex andre deJuniac.