The International Air Transport Association (IATA) announced global passenger traffic results for June 2019 showing that demand (measured in revenue passenger kilometers or RPKs) rose by 5.0 percent compared to June 2018.
This was up slightly from the 4.7 percent year-over-year growth recorded in May. June capacity (available seat kilometers or ASKs) increased by 3.3 percent, and load factor rose 1.4 percentage points to 84.4 percent, which was a record for the month of June.
“June continued the trend of solid passenger demand growth while the record load factor shows that airlines are maximizing efficiency. Amid continuing trade tensions between the US and China, and rising economic uncertainty in other regions, growth was not as strong as a year ago, however,” Alexandre de Juniac, IATA’s Director General and CEO, said.
June international passenger demand rose 5.4 percent compared to June 2018, which was an improvement from 4.6 percent annual growth recorded in May. All regions recorded increases in growth, led by airlines in Africa. Capacity rose 3.4 percent, and load factor climbed 1.6 percentage points to 83.8 percent.
African airlines’ traffic soared 11.7 percent in June, up from 5.1 percent in May. Capacity rose 7.7 percent, and load factor jumped 2.6 percentage points to 70.5 percent. Demand is benefitting from a generally supportive economic backdrop, including improved economic stability in several countries, as well as increased air connectivity.
European airlines saw traffic rise 5.6 percent in June compared to June 2018, in line with 5.5 percent demand growth the month before. Capacity climbed 4.5 percent and load factor rose 1.0 percent percentage point to 87.9 percent, tied with North America as the highest among the regions. The solid growth occurred against a backdrop of slowing economic activity and declining business confidence in the Euro area and UK.
Middle Eastern carriers posted an 8.1 percent demand increase in June compared to the same month last year, which was well up on the 0.6 percent annual increase recorded in May. The timing of Ramadan which fell almost exclusively in May this year likely contributed to the strongly contrasting outcomes. Capacity rose 1.7 percent and load factor jumped 4.5 percentage points to 76.6 percent.
Asia-Pacific airlines’ June traffic rose 4.0 percent compared to the year-ago period, which was down from a 4.9 percent increase in May.
US-China trade tensions have impacted demand in the broader Asia-Pacific-North America market and also within the inter-Asia market. Capacity rose 3.1 percent and load factor edged up 0.7 percentage point to 81.4 percent.
North American carriers’ demand rose 3.5 percent compared to June a year ago, down from 5.0 percent annual growth in May, similarly reflecting US-China trade tensions. Capacity climbed 2.0 percent, with load factor increasing 1.3 percentage points to 87.9 percent.
