Air passenger traffic falls, Asia-Pacific carriers hardest hit

International passenger traffic for last month continued to fall, with Asia Pacific carriers taking the biggest hit, said the International Air Transport Association (IATA).

Passenger traffic dropped 4.6% in December from a year ago, while cargo traffic dipped some 23%.

“The fall in global cargo is unprecedented and shocking. Even in September 2001, when much of the global fleet was grounded, the decline was only 13.9%,” said IATA director-general and chief executive officer Giovanni Bisignani in a statement issued yesterday.

Air cargo carries 35% of the value of goods traded internationally.

Asia Pacific carriers saw the sharpest decline in international traffic at 9.7% while capacity reduced at 5.6%.

Traffic in this region continues to be the hardest hit in the current economic turmoil, indicated by falling export volumes for Singapore and Japan and South Korea’s gross domestic product contraction last month.

IATA said the collapse in the airline industry’s freight business is a reflection of 20-30% decline in export and import volumes experienced across Asia, North America and Europe last month.

Asia Pacific carriers, which account for 45% of international cargo, saw a 26% contraction from a year ago.

However, international passenger traffic grew 1.6% as capacity increased by 3.5% for the whole of 2008. The full-year average load factor was 75.9%, down from the 77.3% in 2007. (Business Times)