Sunday 02 / February / 2025
Muscat: Middle Eastern airlines saw a 9.4% traffic rise in 2024 compared to 2023, according to a report.
The International Air Transport Association (IATA) in its recently released 2024 full-year and December 2024 passenger market performance showed record high demand.
“Capacity increased 8.4% and load factor climbed 0.7 percentage points to 80.8%,” it said, adding that “December demand climbed 7.7% compared to the same month in 2023.”
The IATA report further revealed that the total full-year traffic in 2024 (measured in revenue passenger kilometres or RPKs) rose 10.4% compared to 2023. This was 3.8% above pre-pandemic (2019) levels. Total capacity, measured in available seat kilometres (ASK), was up 8.7% in 2024. The overall load factor reached 83.5%, a record for full-year traffic.
While the international full-year traffic in 2024 increased 13.6% compared to 2023, and capacity rose 12.8% the domestic full-year traffic for 2024 rose 5.7% compared to the prior year, while capacity expanded by 2.5%.
“2024 made it absolutely clear that people want to travel. With 10.4% demand growth, travel reached record numbers domestically and internationally. Airlines met that strong demand with record efficiency” said Willie Walsh, IATA’s Director General.
“On average, 83.5% of all seats on offer were filled—a new record high, partially attributable to the supply chain constraints that limited capacity growth. Aviation growth reverberates across societies and economies at all levels through jobs, market development, trade, innovation, exploration, and much more,” he further added.
“Looking to 2025, there is every indication that demand for travel will continue to grow, albeit at a moderate pace of 8.0% that is more aligned with historical averages. The desire to partake in the freedom that flying makes possible brings some challenges into sharp focus,” Walsh said.
Asia-Pacific airlines posted a 26.0% rise in full year international 2024 traffic compared to 2023, maintaining the strongest year-over-year rate among the regions. Capacity rose 24.7% and the load factor climbed 0.8 percentage points to 83.8%. Despite this strong growth, opportunities for further growth remain high, as international RPKs remain 8.7% below 2019 levels. December 2024 traffic rose 17.1% compared to December 2023.
European carriers’ full year traffic climbed 9.7% versus 2023. Capacity increased 9.2%, and load factor rose 0.4 percentage points to 84.1%. For December, demand climbed 8.6% compared to the same month in 2023.
North American carriers reported a 6.8% annual traffic rise in 2024 compared to 2023. Capacity increased 7.4%, and load factor fell -0.5 percentage points to 84.2%. December 2024 traffic rose 5.1% compared to the year-ago period.
Latin American airlines posted a 14.4% traffic rise in 2024 over full year 2023. Annual capacity climbed 14.3% and load factor increased 0.1 percentage points to 84.8%, the highest among the regions. December demand climbed 11.3% compared to December 2023.
African airlines’ annual traffic rose 13.2% in 2024 versus the prior year. Full year 2024 capacity was up 9.5% and load factor climbed 2.5 percentage points to 74.5%, the lowest among regions but a record high for Africa. December 2024 traffic for African airlines rose 12.4% over December 2023.
ME air cargo demand
Middle Eastern carriers saw 13% year-on-year demand growth for air cargo in 2024. Capacity increased by 5.5% year-on-year, the IATA report said adding that December year-on-year demand increased 3.3% and capacity increased 0.2%.
Full-year demand for 2024, measured in cargo tonne-kilometres (CTK), increased 11.3% (12.2% for international operations) compared to 2023. Full-year 2024 demand exceeded the record volumes set in 2021.
December 2024 brought the year to a close with continued strong performance. Global demand was 6.1% above December 2023 levels (7.0% for international operations). Global capacity was 3.7% above December 2023 levels (5.2% for international operations). Cargo yields were 6.6% higher than December 2023 (and 53.4% higher than in December 2019).
"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% year-on-year, was boosted by particularly strong e-commerce and various ocean shipping restrictions,” Walsh said.
“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% higher than 2019,” he further added.
Looking to 2025, IATA estimates growth to moderate to 5.8%, 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 deflation trade,” said Walsh.
