Passenger traffic for June showed demand rose by 7.8 per cent compared to the same month last year but A trade war is “casting a a long shadow” over the future of traffic, according to the International Air Transport Association (IATA).
This was up from six per cent year-over-year revenue passenger kilometre growth recorded in both May and April. June capacity (available seat kilometers or ASKs) increased by 6.5 per cent, and load factor rose one percentage point to 82.8 per cent.
The first six months of 2018 produced demand growth of seven per cent, a strong performance, but down from 8.3 per cent growth recorded in the first half of 2017.
IATA’s director general and chief executive officer, Alexandre de Juniac said: “The first half of 2018 concluded with another month of above-trend demand growth, which is a good indicator for the peak summer travel season in the northern hemisphere. But the looming prospect of a global trade war is casting a long shadow.
“Additionally, rising cost inputs -fuel prices have soared by approximately 60% over the past year -are reducing the stimulus of lower fares.”