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The International Air Transport Association (IATA) released data showing that demand rose in August 2016 3.9% year-on-year after the demand increased by 5% in July. Despite these data, industry conditions have improved since the particularly soft patch at the start of the year.

Carriers in all regions except Latin America reported an increase in year-on-year demand in August. European airlines posted the largest increase in freight demand of all regions in August 2016 – 6.6% year-on-year, North American carriers saw freight volumes expand 5.5%, African carriers saw demand rebound sharply in August to 3.7%, Asia-Pacific airlines reported a 2.8% increase in demand for air cargo, Middle Eastern carriers saw air freight demand slump to 1.8% year-on-year in August 2016. Latin American airlines saw demand contract in annual terms for the sixth consecutive month. FTKs in August 2016 fell by 3.3% compared to the same period last year. The region continues to be blighted by weak economic and political conditions.

“August numbers showed improvements in cargo demand. While this is good news, the underlying market conditions make it difficult to have long-term optimism. World trade volumes fell by 1.1% in July with no improvement on the horizon. And the current global political rhetoric in much of the world is more focused on protectionism than trade promotion. Economies need to grow out of the current economic doldrums. Governments should be focused on promoting trade, not raising protectionist barriers,” said Alexandre de Juniac, IATA’s Director General and CEO.

 

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