EASLEY ANSWERS – INTERNATIONAL AIR FREIGHT VOLUMES
As the old saying goes, “Rome wasn’t built in a day.” Similarly, the air cargo market will take some time to recover. Air freight volumes dropped 17% year-on-year in June 2020, compared to a 20% year-on-year decline in May. This marked the second consecutive month of improvement.
But, just because the market gradually recovered in June does not mean that COVID-19 lost its relevance. The world continued to feel the presence of the global pandemic well into the summer months.
As is reported in the IATA Air Cargo Market Analysis for June 2020, “Six months into 2020, year-to-date volumes have decreased 14.5% compared to the Jan-Jun 2019 period.” This gives us a good understanding of the big picture and shows us how the coronavirus has impacted the economy in the first half of the year.
June was a relatively good month for manufacturing, as output recovered to levels not seen since January. However, the market was still experiencing an imbalance due to the lack of air cargo capacity. Just like in previous months, this capacity shortage can be tied to the absence of international passenger flights.
All things considered, June 2020 was a small step in the right direction. Slowly but surely the air freight market displayed signs of rebounding from the pandemic.
As our reflection on the air cargo industry approaches the present, we will transition to a forward mindset, looking at the road that lies ahead. So, stay tuned for upcoming posts as we all navigate these unfamiliar waters brought on by COVID-19.
Click here to view the original market report from IATA.