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IATA keeps watching brief on US demand amid tariffs but reports global growth in March

Demand and capacity in the global aviation sector both saw increases in March, according to the latest International Air Transport Association (IATA) figures.

Total demand, measured in revenue passenger kilometres (RPK), was up 3.3% year on year while total capacity, measured in available seat kilometres (ASK), was up 5.3%

The March load factor was 80.7%, a slight reduction of 1.6 percentage points compared to March 2024.

International demand rose 4.9% compared to March 2024. Capacity was up 7% year-on-year, and the load factor was 79.9%, down 1.7 percentage points.

Meanwhile, domestic demand increased 0.9% compared to March 2024. Capacity was up 2.5% year-on-year. The load factor was 82.0%, down 1.3 percentage points compared to March 2024.

Willie Walsh, IATA director general said: “Passenger demand grew by 3.3% year-on-year in March, a slight strengthening from the 2.7% growth reported for February.

“A capacity expansion of 5.3%, however, outpaced the demand expansion leading to a load factor decline from record highs to 80.7% systemwide.

“There remains a lot of speculation around the potential impacts of tariffs and other economic headwinds on travel.

“While the small decline in demand in North America needs to be watched carefully, March numbers continued to show a global pattern of growth for air travel.

“That means the challenges associated with accommodating more people who need to travel—specifically alleviating supply chain problems and ensuring sufficient airport and air traffic management capacity—remain urgent.”

The post IATA keeps watching brief on US demand amid tariffs but reports global growth in March appeared first on Aviation Business News.

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