Sunday, August 3, 2025

IATA reports slower global air travel growth in June 2025 amidst regional disruptions

The International Air Transport Association (IATA) today announced global passenger demand data for June 2025, revealing a moderated pace of growth compared to previous months. Total demand, measured in revenue passenger kilometers (RPK), increased by 2.6% year-on-year. This growth was outpaced by a 3.4% rise in total capacity (available seat kilometers – ASK), resulting in a slight dip in the load factor to 84.5%, a decrease of 0.6 percentage points compared to June 2024.

International demand saw a 3.2% increase year-on-year, with capacity growing by 4.2%. The international load factor stood at 84.4%, down 0.8 percentage points from June 2024. Domestic demand rose by 1.6% compared to June 2024, while domestic capacity expanded by 2.1%. The domestic load factor was 84.7%, a modest decline of 0.4 percentage points.

“In June, demand for air travel grew by 2.6%. That’s a slower pace than we have seen in previous months and reflects disruptions around military conflict in the Middle East,” said Willie Walsh, IATA’s Director General. “With demand growth lagging the 3.4% capacity expansion, load factors dipped 0.6 percentage points from their all-time record-high levels. At 84.5% globally, however, load factors are still very strong. And with a modest 1.8% capacity growth visible in August schedules, load factors over the Northern summer are unlikely to stray far from their recent historic highs.”

International Passenger Markets – Regional Breakdown:

International RPK growth reached 3.2% in June year-on-year, but load factors fell across all regions as capacity growth outstripped demand. The steepest fall in RPK growth from May was observed in the Middle East.

  • Asia-Pacific airlines achieved a robust 7.2% year-on-year increase in demand. Capacity increased by 7.5%, leading to a load factor of 82.9% (-0.2 ppt).
  • European carriers experienced a 2.8% year-on-year increase in demand. Capacity grew by 3.3%, and the load factor was a strong 87.4% (-0.4 ppt).
  • North American carriers saw a 0.3% year-on-year fall in demand. Capacity increased by 2.2%, and the load factor was 86.9% (-2.2 ppt).
  • Middle Eastern carriers recorded a 0.4% year-on-year decrease in demand. Capacity increased by 1.1%, with the load factor at 78.7% (-1.2 ppt). Military conflict particularly impacted traffic on routes to North America (-7.0%) and Europe (-4.4%).
  • Latin American airlines posted a significant 9.3% year-on-year increase in demand. Capacity climbed by 11.8%, resulting in a load factor of 83.3% (-1.9 ppt).
  • African airlines saw a 0.3% year-on-year decrease in demand. Capacity was up 0.3%, and the load factor was 74.6% (-0.5 ppt). The decline in African load factor may be attributed to increased competition from European and Middle Eastern carriers.

Domestic Passenger Markets:

Domestic RPK rose 1.6% over June 2024. The domestic load factor fell by 0.4 percentage points to 84.7% on the back of a 2.1% capacity expansion. Brazil was a standout performer in the domestic market, and the US domestic market saw a very slight expansion for the first time in four months.

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