Global aviation sees rising seat capacity and air cargo demand

The global aviation sector is experiencing divergent trends in passenger capacity and cargo demand. Global airline seat capacity grew by 2.6% year-over-year, adding approximately 13.3 million seats. This growth was primarily driven by Northeast Asia and Western Europe, while Central and Western Africa saw a 16.9% increase. Conversely, regional instability in the Middle East led to a 5.7% decline in capacity, impacting major carriers such as Emirates and Qatar Airways.

In North America, Alaska Airlines saw a 22.3% surge in frequency following its integration with Hawaiian Airlines. In Europe, while low-cost carriers like Ryanair expanded, major carriers including Deutsche Lufthansa AG experienced capacity cuts exceeding 7%.

Simultaneously, global air cargo demand rose 4.4% year-on-year in August, supported by strengthening global trade and manufacturing activity. International cargo demand specifically increased by 5.3%. Despite rising jet fuel costs, which were 79.2% higher than a year earlier, stronger demand and improved load factors helped increase yields for the first time since April.