Global air cargo demand increased by 3.9% year-on-year in July 2026, according to the International Air Transport Association (IATA).

IATA said total demand, measured in cargo tonne-kilometres (CTK), rose by 3.9% compared with July 2025, while international operations recorded a stronger growth of 4.7%.

Capacity also increased during the month, with available cargo tonne-kilometres (ACTK) rising by 1.7% year-on-year. International capacity grew by 1.8%.

“Air cargo demand grew 3.9% year-on-year in July. While all regions recorded growth, airlines in Asia-Pacific, Europe and North America accounted for more than 90% of the overall increase,” Marie Owens Thomsen, IATA’s Senior Vice President Sustainability and Chief Economist said.

She noted that dedicated freighters gained market share during the month as belly-hold cargo traffic declined.

“This possibly reflects demand for larger or specialist shipments and the operational flexibility that freighters can provide,” she said.

According to IATA, the outlook for air cargo remains broadly positive, supported by manufacturing activity, export orders and global trade.

“Looking ahead, the outlook remains broadly positive, supported by manufacturing activity, export orders and global trade,” Thomsen said.

However, she cautioned that rising fuel costs, geopolitical tensions and uncertainty over tariffs could pose risks to the sector.

“Higher fuel prices, geopolitical tensions and tariff uncertainty will need to be watched carefully,” she added.

IATA said global trade increased by 7.5% year-on-year, while jet fuel prices rose by 12.2% month-on-month in July and were 56.9% higher than a year earlier.

Manufacturing activity eased slightly in June but remained supportive of air cargo demand. The Global Manufacturing Output Purchasing Managers’ Index (PMI) fell by 0.3 points to 52.7, while the New Export Orders Index rose to 50.0, its highest level in three months.

Regional performance

Asia-Pacific airlines recorded a 4.1% year-on-year increase in air cargo demand in July, while capacity grew by 3.0%.

North American carriers posted the strongest regional growth, with demand increasing by 4.8%. However, capacity declined by 1.5%.

European carriers recorded a 4.4% increase in demand, while capacity grew by 1.3%.

Middle Eastern carriers saw demand rise by 1.7%, with capacity increasing by 4.0%.

Latin American and Caribbean carriers recorded 4.1% growth in demand, while capacity increased by 7.0%.

African airlines recorded the weakest growth among the regions, with air cargo demand increasing by 1.1% year-on-year. Capacity, however, rose by 4.1%.

Trade lanes

IATA said air cargo performance varied across major trade routes in July. The Asia-North America corridor recorded the strongest growth, followed by Europe-Asia and Europe-North America.

However, Gulf-linked trade corridors remained disrupted by the ongoing conflict in the Middle East.

MA