The International Air Transport Association (IATA) has reported an 8.5% year-on-year increase in air cargo demand for African airlines in 2024.
This surge is attributed to the rapid expansion of e-commerce and global shipping restrictions, positioning air freight as a crucial alternative for trade and logistics across the continent.
According to businessday.ng, capacity increased by 13.6 percent year-on-year. December year-on-year demand decreased by -0.9 percent, the lowest of all regions and capacity increased 1.8 percent.
“Air cargo was the standout performer in 2024 with airlines moving more air cargo than ever before. Importantly, it was a year of profitable growth. Demand, up 11.3 percent year-on-year, was boosted by particularly strong e-commerce and various ocean shipping restrictions.
“This combined with airspace restrictions which limited capacity on some key long-haul routes to Asia helped to keep yields at exceptionally high levels. While average yields continued to soften from peaks in 2021-2022 they averaged 39 percent higher than 2019,” said Willie Walsh, IATA’s Director General.
Full-year demand for 2024, measured in cargo tonne-kilometers (CTK), increased 11.3 percent (12.2 percent for international operations) compared to 2023. Full-year 2024 demand exceeded the record volumes set in 2021.
Full-year capacity in 2024, measured in available cargo tonne-kilometers (ACTK), increased by 7.4 percent compared to 2023 (9.6 percent for international operations).
December 2024 brought the year to a close with continued strong performance. Global demand was 6.1 percent above December 2023 levels (7.0 percent for international operations). Global capacity was 3.7 percent above December 2023 levels (5.2 percent for international operations). Cargo yields were 6.6% higher than December 2023 (and 53.4 percent higher than in December 2019).
Looking to 2025, IATA estimates growth to moderate to 5.8 percent, aligned with historical performance. “Economic fundamentals point to another good year for air cargo—with oil prices on a downward trajectory and trade continuing to grow. There is no doubt, however, that the air cargo industry will be challenged to adapt to unfolding geopolitical shifts. The first week of the Trump administration demonstrated its strong interest in using tariffs as a policy tool that could bring a double whammy for air cargo—boosting inflation and deflating trade,” said Walsh.
In December, both the manufacturing output Purchasing Managers Index or PMI (49.2) and new export orders PMI (48.2) were below the critical threshold represented by the 50 mark, indicating a decline in global manufacturing production and exports.
Regional Performance
Asia-Pacific airlines saw 14.5 percent year-on-year demand growth for air cargo in 2024, the strongest among the regions. Capacity increased by 11.3 percent year-on-year. December year-on-year demand increased 8.4 percent and capacity increased 6.3 percent.
North American carriers saw 6.6 percent year-on-year demand growth for air cargo in 2024, the lowest of all regions. Capacity increased by 3.4 percent year-on-year. December year-on-year demand increased 5.3 percent and capacity increased 2.1 percent.
European carriers saw 11.2 percent year-on-year demand growth for air cargo in 2024. Capacity increased by 7.8 percent year-on-year. December year-on-year demand increased 5.1 percent and capacity increased 3.7 percent .
Middle Eastern carriers saw 13 percent year-on-year demand growth for air cargo in 2024. Capacity increased by 5.5 percent year-on-year. December year-on-year demand increased 3.3 percent and capacity increased 0.2 percent.
Latin American carriers saw 12.6 percent year-on-year demand growth for air cargo in 2024. Capacity increased by 7.9 percent year-on-year. December year-on-year demand increased 10.9 percent, the highest of all regions and capacity increased 8.4 percent.
