Dubai: Global air passenger demand experienced a 1.7% decline in June compared to the previous year, primarily influenced by a notable decrease in Middle Eastern traffic and weakened domestic markets in China, the United States, and Japan. Total airline capacity, gauged in available seat kilometers, saw a 1.3% reduction, while the passenger load factor dipped by 0.4 percentage points, settling at 84.2%.
According to Anadolu Agency, excluding the Middle East, the global demand exhibited a more moderate decline of 0.6%. International passenger traffic decreased by 0.9% year-on-year; however, it registered a 1.1% increase when excluding the Middle Eastern region. International capacity saw a reduction of 0.6%, with the load factor easing to 84.2%.
Domestically, demand contracted by 3%, accompanied by a 2.4% drop in capacity and a decline in the load factor to 84%. The airlines in the Middle East faced the sharpest regional decline, with international demand plummeting by 14% and capacity decreasing by 11%. Their load factor also fell by 2.6 percentage points to 76.3%.
IATA attributed the continued decline in regional traffic to the ongoing impact of the Iran war, although the pace of decline has slowed since April as airline operations begin to normalize. Willie Walsh, IATA Director General, highlighted that renewed tensions and rising fuel prices could impede the region's recovery and potentially drive airfares higher.
European carriers recorded a 1.5% increase in international demand, with the Europe-Asia corridor experiencing an 11% surge, marking the strongest growth among major international routes. Asia-Pacific airlines witnessed a 0.4% rise in demand despite a 1.1% dip in capacity, as higher fuel prices led some carriers to cut short-haul services within Asia.
African airlines demonstrated the highest regional growth at 6.7%, followed by Latin American carriers with a 3.5% increase. Meanwhile, North American airlines saw a 1% drop in international demand, with a 0.7% decline in capacity.