The air cargo market continued to unwind 18 months of record gains in October, as the global economy slows and consumers tighten their purse strings.<\/p>\n
The industry is well into the typical peak season with little sign of increased shipping activity. Demand and rates are falling at a time when both normally climb.<\/p>\n
Volumes in October, measured by a formula that combines weight and shipment dimensions, fell 8% versus the same period last year, the eighth consecutive month of demand decline, market intelligence firm Xeneta reported last week.<\/p>\n
The downward trend worsened from September, when volumes contracted 5% year over year and 0.3% versus three years ago. The International Air Transport Association on November 7 released its own lagging data, compiled with a different methodology, showing cargo volumes as a factor of distance slumped 10.6% in September.<\/p>\n
Performing at last year\u2019s record levels, which were driven by pandemic-related shortages and supply chain disruptions, was not sustainable, but October demand also fell 3% below the level in 2019 \u2013 a weak year for air cargo. And IATA said demand was negative 3.6% versus three years ago.<\/p>\n