Global air passenger traffic declines amid North American weakness

Global air passenger traffic declined by 0.8 percent year-on-year in August 2026, according to the International Air Transport Association (IATA). This reversal of July's marginal growth was driven by weakened demand in North America and the Middle East. While available seat capacity increased by 0.3 percent, the industry-wide passenger load factor fell to 85.1 percent.

In North America, carriers saw a 2.2 percent decline in passenger traffic, marking the fourth consecutive month of contraction. Middle Eastern airlines experienced the sharpest drop, with traffic falling 14.6 percent year-on-year.

Regional data from Los Angeles shows a similar trend, with passenger traffic at four local airports—Los Angeles International, Ontario International, Hollywood Burbank, and Long Beach—down 4.5 percent in August. Hollywood Burbank Airport reported the largest decline at 12.5 percent, attributed to the restructuring of Spirit Airlines and Avelo Airlines, which resulted in route cuts and the closure of a West Coast hub. Despite the drop in passengers, cargo tonnage at these four airports saw a slight increase of 1.3 percent.