IATA: Air freight up “but protectionist risks remain”

The International Air Transport Association (IATA) has reported global air freight demand in February was up 6.8% on last year – but warned that the market “faces some potentially strong headwinds, including escalation of protectionist measures into a full-blown trade war”.

In a statement issued yesterday (4 April), IATA said: “The continued growth in air cargo demand is consistent with ongoing robust global trade flows. There are, however, signs that the best of the upturn for air freight has passed. Demand drivers for air cargo are moving away from the highly supportive levels seen last year. In recent months the Purchasing Managers Index (PMI) for manufacturing and export orders has softened in a number of key exporting nations including Germany, China and the US. And the seasonally adjusted demand for air cargo which rose at a double-digit annualized rate for much of 2017 is now trending at 3%.

“Demand for air cargo continues to be strong with 6.8% growth in February. The positive outlook for the rest of 2018, however, faces some potentially strong headwinds, including escalation of protectionist measures into a full-blown trade war. Prosperity grows when borders are open to people and to trade, and we are all held back when they are not,” said Alexandre de Juniac, IATA’s Director General and CEO.”