Andre Klynsmith

Aviation

Air Cargo Demand Continues to Ascend in August

The demand for air cargo increased by 4.1% in August, according to data released by the International Air Transport Association (Iata). This marks the sixth consecutive month of year-on-year growth.

The Iata report on global air cargo markets for August 2025 highlights the following:

• Total demand, measured in cargo tonne-kilometers (CTK), rose by 4.1% compared to August 2024 levels, with international operations growing by 5.1%.
• Capacity, measured in available cargo tonne-kilometers (ACTK), increased by 3.7% year-on-year, while international capacity grew by 5.5%.

Willie Walsh, Iata’s Director General, said air cargo volumes continue to expand despite changes in global trade patterns.

“Volumes continue to grow even as global trade patterns change,” Walsh noted. “Air cargo has benefited from a shift away from sea freight for some high-value goods as shippers seek to minimise the risk of tariff changes.

“Growth patterns also indicate traffic being diverted away from North America, fueling stronger performance on the Europe–Asia, Within Asia, Africa–Asia, and Middle East–Asia trade lanes. This adaptability is vital as shippers navigate the evolving landscape of US tariff policy.”

Operating Environment Factors

• Global goods trade grew by 5.4% year-on-year in July.
• Jet fuel prices in August were 6.4% lower year-on-year, marking the 14th consecutive month of annual declines.
• Global manufacturing sentiment improved, with the Purchasing Managers’ Index (PMI) rising to 51.75, the strongest level since June 2024.
• New export orders remained below the expansion threshold at 48.73, reflecting continued caution amid tariff uncertainty.

August Regional Performance

• Asia-Pacific: Air cargo demand increased by 9.8% year-on-year, while capacity grew by 6.9%.
• North America: Demand declined by 2.1% year-on-year, the weakest performance of all regions. Capacity fell by 1.0%.
• Europe: Demand rose by 3.2% year-on-year, with capacity increasing by 4.2%.
• Middle East: Demand increased by 2.7% year-on-year, while capacity grew by 4.3%.
• Latin America: Demand grew by 2.1% year-on-year, with capacity up by 5.0%.
• Africa: Demand surged by 11.0% year-on-year, the strongest growth of all regions. Capacity increased by 12.3%.

Trade Lane Growth

Air freight volumes in August 2025 increased across most major trade corridors. Europe–Asia and Within Asia recorded strong double-digit growth, while Middle East–Asia, North America–Europe, and Africa–Asia also posted notable gains. In contrast, Asia–North America, Middle East–Europe, and Within Europe experienced declines.

*Market share is based on full-year 2024 cargo tonne-kilometers (CTKs).

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Author Bio

Andre Klynsmith is a dynamic entrepreneur and technology enthusiast, with a fervent passion for innovation and its potential to revolutionize industries.

His expertise lies in the realms of technology, blockchain, transport, and logistics, where he consistently demonstrates his visionary thinking and dedication to driving positive change..

Written by Andre Klynsmith

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