Friday 16 April 2021

Global air passenger demand up 5.6pc in August

GENEVA, October 1, 2018

The August 2018 international passenger demand rose 5.6 per cent compared to August 2017, in line with 5.5 per cent year-over-year growth achieved in July, according to International Air Transport Association (Iata) data.  
All regions recorded increases, led by airlines in the Asia-Pacific region. Capacity climbed 5.1 per cent, and load factor edged up 0.4 percentage point to 85 per cent.
Middle Eastern carriers posted a 5.4 per cent traffic increase in August, which was a slowdown from 6.2 per cent in July. Passenger volumes have trended upwards at an 8 per cent annualised rate since the start of the year. Capacity increased 6.3 per cent, with load factor slipping 0.7 percentage point to 80.7 per cent.
Global air passenger demand (measured in total revenue passenger kilometres or RPKs) climbed 6.4 per cent in August compared to the year-ago period, Iata said. This was slightly above the 6.1 per cent annual increase for July. August capacity (available seat kilometres or ASKs) increased by 5.5 per cent, and load factor climbed 0.7 percentage point to 85.3 per cent, which was the highest for any month since at least 1990. 
"The industry experienced continued strong traffic growth in August, putting the cap on a very good peak travel season. The all-time record load factor reflects that airlines are maximizing the efficiency of their assets at a time of rising fuel prices and other costs that are limiting the opportunities for low fare stimulation," said Alexandre de Juniac, Iata’s director general and CEO.      
Asia-Pacific airlines’ August traffic increased 7.5 per cent compared to the year-ago period, which was an acceleration compared to a 7.2 per cent rise in July. Capacity rose 6.1 per cent and load factor rose 1.1 percentage points to 82.6 per cent. The upward trend in passenger traffic remains very strong, supported by structural changes, including ongoing rises in living standards in the region, as well as more route options for passengers that translate into time savings and ultimately stimulate demand.
European carriers saw August demand climb 5.1 per cent year-to-year, which was also an increase from the 4.5 per cent growth recorded in July. However, in seasonally-adjusted terms, growth has tracked sideways since late spring. Capacity rose 4.5 per cent, and load factor climbed 0.5 percentage point to 88.9 per cent, which was the highest among regions. European demand is being affected by mixed signs on the economy as well as possible disruptions from air traffic control strikes.
North American airlines’ international demand rose 3.7 per cent compared to August a year ago. While this was a slowdown from 4.1 per cent growth recorded in July, this largely reflected developments a year ago rather than any change in the current healthy trend. Capacity rose 3.3 per cent, and load factor grew by 0.4 percentage point to 87.2 per cent.
Demand for domestic travel climbed 7.7 per cent in August compared to August 2017, up from the 7.2 per cent growth recorded in July. Capacity rose 6.2 per cent and load factor increased 1.2 percentage points to 85.7 per cent. All markets reported demand increases albeit with wide variation.
The Bottom Line  
"Aviation is the business of freedom, reuniting friends and families and connecting businesses to markets. To preserve that freedom, air links need to be maintained. For that reason, it is absolutely critical that UK and EU aviation negotiators achieve a post-Brexit agreement. It is not just about permission for flights to take off and land. Everything from pilots’ licenses to security arrangements, and much more besides, needs to be agreed upon. Mutual recognition of existing standards can address much of this, but we cannot wait until the eleventh hour. An assumption that ‘it will be all right on the night’ reveals little understanding of the complexities involved. Preparations should be made for every contingency, in an environment of far greater transparency than we have seen to date," said de Juniac.  - TradeArabia News Service

Tags: Traffic | Passenger |

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