INTERNATIONAL. Industry-wide passenger traffic growth slowed to +4.6% year-on-year in August, the International Air Transport Association (IATA) has reported.
This represented a slowdown from the revised +6.4% increase recorded in July.
Middle East and Asia Pacific airlines posted the fastest traffic growth for the third month in a row, but African airlines found themselves at the bottom of the growth chart for the second time in three months, IATA said.
IATA Director General and CEO Alexandre de Juniac noted that while the August performance was disappointing compared to the previous month, it still represented healthy growth.
“Lower airfares are a major factor sustaining demand for air travel,” he said. “And airline profitability is stronger than ever as a result of a better industry structure and efficiency gains.
“But the lingering impact of terrorist attacks in Europe earlier in the year reminds us that the aviation industry is vulnerable to many external factors beyond its control. The risks—including the normal ups and downs of the business cycle—won’t go away.
“The industry has improved resilience along with its profitability. That will be critical to responding quickly should the business environment change.”
International passenger markets
International passenger demand rose+ 4.7% year-on-year in August. All regions recorded increases, but growth was dominated by airlines in the Middle East.
European carriers saw August demand climb +3.3% year-on-year. IATA said European traffic continues to be affected by the impact of terrorism but noted there were indications this may be easing. However, Asian passengers “still look to be being put off by terrorism in Europe, and it appears that they are substituting leisure travel to destinations closer to home”.
Asia Pacific airlines’ August traffic climbed +5.6%. Traffic on Europe-Asia routes grew just +1.5% in July, the most recent month for which route-specific figures are available, while international traffic growth on routes within Asia accelerated to +9.9%, IATA said.
Middle Eastern carriers posted a +10.3% traffic increase in August.
International demand among North American airlines rose +1.8%. However, seasonally-adjusted traffic has risen at an annualised rate of +7% since March, supported by transpacific demand and leisure routes to Central America and the Caribbean.
Latin American airlines experienced +6.7% growth, helped by strong demand on international routes within the region, spurred in part by the 2016 Summer Olympics in Brazil.
African airlines’ traffic climbed +1.8%. International growth has tracked sideways since the start of the year, reflecting challenges in the major economies, IATA said.
