The global air freight industry showed small signs of recovery last month, but a fall in demand over the last two weeks of the month may signal more challenging times ahead as airlines return capacity to the market.
That’s according to the latest week-by-week analysis by CLIVE Data Services – which only recently stated that the global air cargo industry had stabilised, but was by no means in good shape.
“The month of May was not as bad for the global air cargo industry as April. As hinted in CLIVE’s data last month, the industry has passed the (initial) bottom.
"After a -37% decline in volumes year-on-year in April, the corresponding figure for May of -31% shows a slight upward curve and, measured alongside a capacity decline of -42% versus last year, the pressure on capacity remained high. Consequently, CLIVE’s ‘dynamic load factor’, based on both the volume and weight perspectives of cargo flown and capacity available, increased month-on-month from 67% to 69%,” said CLIVE’s managing director, Niall van de Wouw.
“Looking at the last 12 weeks, it is clear to see that market volumes remain erratic and that this will continue for the foreseeable future.
"This is one of the few certainties we have at the moment.
"And with the announcements of increases in passenger schedules, global air cargo revenues could suffer ‘collateral damage’ of more capacity returning to the market, he added.