IATA: Growth slows slightly in November but remains strong

IATA director general and CEO, Alexandre de Juniac

Airfreight growth slowed slightly in November to 6.8 per cent year-on-year (YOY) but it is still growing at more than 2.5 times the average monthly rate seen for the past decade, the International Air Transport Association (IATA) says.

Growth in November was slightly slower than in October, when freight tonne kilometres (FTK) were up 8.4 per cent YOY, but was still well above the average monthly rate of 2.6 per cent over the past decade.

IATA says the growth coincides with an increase in silicon material shipments used in high-value consumer electronics shipped by air and a turnaround in new export orders, while a modal shift following the collapse of Hanjin Shipping Company in August may have helped.

IATA director general and chief executive officer, Alexandre de Juniac says: “Air cargo enjoyed a strong peak season in November. And there are encouraging signs that this growth will to continue into 2017, particularly with the shipment of high-value consumer electronics and their component parts.”

He adds: “But, the trend in world trade is still stagnant. So it remains critically important for the air cargo industry to continue to improve its value offering by implementing modern customer-centric processes.”

Africa saw the strongest FTK growth of 10.9 per cent, followed by Europe at nine per cent. Latin America was the only region to decline, down 1.3 per cent due to weak economic and political conditions, particularly in Brazil.