The International Air Transport Association (IATA) recently shared its June 2025 air cargo market data, revealing key trends in global demand and capacity.

Data shows that global air cargo growth stalled in June against a backdrop of continuing U.S. trade tensions and tariff changes. Notably, regional differences shaped by other external influences were evident.

While growth slowed in North America and Europe, Asia-Pacific carriers saw a 9% growth for the month.

This article breaks down the findings, highlighting regional differences and the broader economic context shaping the air cargo industry.

Global Air Cargo Performance June 2025

Air Cargo Demand and Capacity Trends

In June 2025, global air cargo demand, measured in cargo tonne-kilometers (CTK), grew by a modest 0.8% compared to June 2024.

International operations saw a slightly stronger increase of 1.6%. Meanwhile, capacity, measured in available cargo tonne-kilometers (ACTK), rose by 1.7% year-on-year, with international operations up by 2.8%.

These figures suggest steady but uneven growth across the industry. Willie Walsh, IATA’s Director General, commented on the monthly performance data and regional variations.

“Air cargo demand grew by 0.8% year-on-year in June, but the story varies across regions. Trade tensions led to an 8.3% drop in North American traffic and stagnant 0.8% growth in Europe.”

“However, Asia-Pacific airlines reported a robust 9.0% expansion. Middle Eastern carriers faced a 3.2% decline due to regional conflicts.”

Economic Factors at Play

Several factors influenced the air cargo market in June 2025. Global industrial production increased by 3.2% year-on-year in May, while global goods trade grew by 5%.

Jet fuel prices dropped 12% compared to June 2024, marking the fourth consecutive year-on-year decline, though prices rose 8.6% from May 2025.

The global manufacturing Purchasing Managers’ Index (PMI) rebounded to 51.2, signaling expansion. However, the PMI for new export orders remained below 50 at 49.3, reflecting pressures from recent U.S. trade policy changes.

Walsh emphasized the need for stability in trade: “Clearer U.S. tariff policies give businesses more confidence to plan. However, higher tariffs on goods imported into the U.S. could harm the economy.”

“Governments should focus on simplifying trade through digitalization to make it faster, cheaper, and more secure.”

Regional Performance Breakdown

Asia-Pacific: Airlines in this region led with a 9.0% year-on-year demand increase, supported by a 7.8% rise in capacity. Strong trade activity drove this growth.

North America: Carriers saw an 8.3% demand drop, the weakest performance globally, with capacity down by 5.1%. Trade tensions likely contributed to this decline.

Europe: Demand grew by just 0.8%, with capacity up by 2.6%. The region faced challenges from stagnant trade growth.

Middle East: Carriers reported a 3.2% demand decrease, despite a 1.5% capacity increase, largely due to regional disruptions.

Latin America: Demand rose by 3.5%, but capacity dipped by 0.4%, reflecting mixed performance.

Africa: Airlines saw a 3.9% demand decline, though capacity grew by 6.2%, indicating potential for recovery.

Trade Lane Insights

Air freight volumes grew in key trade corridors, particularly those involving Europe and Middle East-Asia routes.

However, routes linked to Asia and North America saw significant declines, reflecting regional challenges.

Looking Ahead

The June 2025 data underscores the importance of stable trade policies and efficient processes. U.S. trade tensions and associated market uncertainty continues to dominate the world air cargo landscape.

As global trade evolves, digitalization and adaptability will be key to sustaining air cargo growth.

IATA’s full June 2025 Air Cargo market Analysis can be accessed here.