Positive business and consumer sentiment across advanced and emerging market economies buoyed international air passenger and cargo demand in May for Asian airlines, according to new traffic figures released by the Association of Asia Pacific Airlines (AAPA).

The region’s carriers carried a combined total of 25.2 million international passengers, 5.4% more than in the same month last year. Measured in revenue passenger kilometers, demand grew by 9.4%, reflecting the strength of demand in long-haul travel markets. The average international passenger load factor increased by 2.2 percentage points to 77.4% for the month, after accounting for a 6.4% expansion in available seat capacity.

Trade activity remained buoyant in May, with Asian carriers seeing international air cargo demand, as measured in freight tonne kilometers, registering a solid 12.2% increase compared to the same month last year. The average international freight load factor also rose significantly, by 4.7 percentage points to 65.6%, following a comparatively modest 4.3% expansion in offered freight capacity.

Commenting on the results, Andrew Herdman, AAPA director general, said, “During the first five months of the year, the number of international passengers carried by Asia Pacific airlines increased by 5.8% to an aggregate total of 129 million. The same period saw a strong 10.5% increase in international air cargo demand.”

He added, “The ongoing pick-up in the global economy, accompanied by increased consumer and investment spending has provided a boost to both international air passenger and air cargo markets. Asian carriers are major players in the global air cargo market, and continue to benefit from the upswing in trade growth.”

Looking ahead, he continued, “The outlook for both air passenger and air cargo markets remains positive, supported by broad-based expansion across sectors. However, airline profitability remains constrained by competitive yield pressures and higher operating costs.”

Photo: Thirdsecondppsk

You May Also Like

HMM forms new alliance with 2 intra-Asia carriers

South Korean container shipping line Hyundai Merchant Marine (HMM) announced it has entered into an alliance with two local competitors in a bid to…

Hapag-Lloyd, CSAV closer to forming fourth largest box ship line

Germany’s Hapag-Lloyd and Chilean carrier Compania Sud Americana de Vapores (CSAV) stepped up efforts toward a merger with the signing of a nonbinding memorandum…

Maersk group posts Q2 loss; cyberattack to impact Q3 earnings

A.P. Moller-Maersk registered a surprise loss in the second quarter year-on-year due to a write-down of the value of its tanker and port assets,…

IMO to add maritime corruption to formal agenda

The International Maritime Organization (IMO) recently agreed to include maritime corruption as a regular work item on its agenda, a move welcomed by the…