Global Air Cargo Demand Drops 4.8% Amid Rising Passengers

In March 2026, global air cargo demand experienced a decline of 4.8% year-on-year, as reported by the International Air Transport Association (IATA). This downturn is attributed to significant disruptions in major Gulf aviation hubs due to ongoing geopolitical tensions, particularly in the Middle East, and a typical post-Lunar New Year slowdown.

The total cargo capacity also decreased by 4.7%, with international cargo operations facing an even sharper drop of 5.5%. Despite these challenges, IATA Director General Willie Walsh noted that the broader outlook for freight remains positive, with expectations of continued growth in global trade.

Conversely, passenger traffic showed resilience, with a 2.1% increase in revenue passenger kilometers compared to the previous year, although total capacity fell by 1.7%. The global load factor rose to 83.6%, indicating strong seat occupancy rates.

While international demand slipped by 0.6%, domestic travel remained robust, growing by 6.5%.