January marked 18 consecutive months of growth for global air cargo with the total demand surging by 3.2% over the previous year, according to International Air Transport Association (IATA).

 

The total demand, measured in cargo tonne-kilometers (CTK), rose to a new high (accounting for 3.6% for international operations), stated IATA in its released data for January 2025 global air cargo markets. 

 

Capacity, measured in available cargo tonne-kilometers (ACTK), increased by 6.8% compared to January 2024 (7.3% for international operations), it added. 

 

On the solid growth, Willie Walsh, IATA’s Director General, said: "January marked 18 consecutive months of growth for air cargo, but the month’s 3.2% year-on-year growth is a moderation from double-digit peaks in 2024."

 

"Similarly, yields, while still above January 2024 levels, saw a 9.9% decline from December as cargo load factors also declined by an average of 1.5 percentage points," he stated. 

 

"While external factors such as trade growth, declining fuel costs and expanding e-commerce remain positive for air cargo, it is important to closely watch the evolution of market conditions at this time," he added. 

 

"In particular, the wild card is the potential for tariff-driven trade policies from the US Trump Administration. Fortunately, the air cargo industry is well practiced at dealing with shifts in the operating environment," said Walsh.

 

According to IATA, the year-on-year, industrial production rose 2.6% in December. Global goods trade grew for a ninth consecutive month, reporting a 3.3% increase in December.

 

The Purchasing Managers Index (PMI) for global manufacturing output was above the 50-mark for January, indicating growth. 

 

At 50.62, this was the highest reading since July 2024. The PMI for new export orders rose to 49.37, remaining just shy of the 50-mark, which is the growth threshold, it stated. 

 

In January, consumer inflation in the US and in Europe both rose by 0.1 percentage point to 3.0% and 2.8% respectively. Chinese consumer inflation rebounded to 0.5% in January, after progressively falling to 0.1% in the previous four months.-TradeArabia News Service