The Significant Value Of Air Transport To The Global Economy

Welcome back! This week we take a close look at 2024 passenger and cargo demand, which segues nicely into even more economic data about how aviation plays an absolutely critical role in the global economy. Ready? Let's get to it.

Global Air Passenger Demand Reaches Record High in 2024

A record-breaking year ended on a strong note.

• Total full-year traffic in 2024 (measured in revenue passenger kilometers or RPKs) rose 10.4% compared to 2023. This was 3.8% above pre-pandemic (2019) levels. Total capacity, measured in available seat kilometers (ASK), was up 8.7% in 2024. The overall load factor reached 83.5%, a record for full-year traffic.
• International full-year traffic in 2024 increased 13.6% compared to 2023, and capacity rose 12.8%.
• Domestic full-year traffic for 2024 rose 5.7% compared to the prior year, while capacity expanded by 2.5%.
• December 2024 was a strong finish to the year with overall demand rising 8.6% year-on-year, and capacity grew by 5.6%. International demand rose by 10.6% and domestic demand by 5.5%. The December load factor reached 84%, a record for the month.

Willie Walsh, IATA's DG:

"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."

Read more about 2024 passenger numbers:

• Full Air Passenger Market Analysis: December 2024
• Global Air Passenger Demand Reaches Record High in 2024 (press release)

Global Air Cargo Demand Achieves Record Growth in 2024

Meanwhile, data for global air cargo market performance revealed:

• Full-year demand for 2024, measured in cargo tonne-kilometers (CTK), increased 11.3% (12.2% for international operations) compared to 2023. Full-year 2024 demand exceeded the record volumes set in 2021.
• Full-year capacity in 2024, measured in available cargo tonne-kilometers (ACTK), increased by 7.4% compared to 2023 (9.6% for international operations).
• Full-year yields averaged 1.6% lower than 2023 but 39% higher than in 2019.
• 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).

More from Willie Walsh:

"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."

Read more about 2024 cargo numbers:

• Full Air Cargo Market Analysis: December 2024
• Global Air Cargo Demand Achieves Record Growth in 2024 (press release)

Chart Of The Week: The Significant Value Of Air Transport To The Global Economy

Aviation plays a critical role in the global economy.

Consider this: In 2023 alone, the world’s airlines collectively transported 4.4 billion passengers to airports all over the globe and carried 61.4 million tonnes of freight.

To enable this activity, according to the latest ATAG Aviation Benefits Beyond Borders report, the industry supported a total of 87 million jobs and added USD 4.1 trillion of economic activity, equivalent to 3.9% of the world’s gross domestic product (GDP).

To put that into context, if aviation were a country, it would rank 5th in size by GDP, similar to the size of Japan or India.

Aviation serves as the only rapid global transportation network, making it indispensable for international business and tourism. It plays a crucial role in driving economic growth and prosperity, particularly in developing countries, and is vital for the global distribution of goods, wealth, and employment.

The industry generates jobs, facilitates trade, and stimulates tourism, among other benefits.

Learn more about the #WeeklyChart and the significant value of air transport, including on a regional level.

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Welcome To Our Latest Member Airline!

We are delighted to welcome aboard flyadeal, which has recently joined IATA's airline membership as the first airline in 2025.

As the youngest and fast growing Saudi low-cost carrier, flyadeal has flown 30 million passengers across the Middle East, Europe & North Africa since its launch in September 2017.

With a modern all-Airbus fleet, the airline is set to triple its network by 2030.

“Saudi Arabia has made remarkable progress in developing a world-class aviation sector, and flydeal’s membership reflects the country’s commitment to expand connectivity and foster sustainable industry growth”, said Kamil Al-Awadhi, IATA Regional Vice President Africa and Middle East.

Thanks for reading! Safe travels and please consider sharing this newsletter.