Severe Capacity Crunch in Air Cargo; ACTKs Down 42% in April 2020

IATA’s global air freight market data for April
2020 shows that demand dropped 27.7% compared to the same period
in 2019 – the sharpest fall ever recorded.

Still, there was
insufficient capacity to meet demand as a result of the loss of
belly cargo operations on passenger aircraft.

Global demand, measured in cargo tonne
kilometers (CTKs), fell by 27.7% in April when compared to the previous
year (-29.5% for international markets).

Global capacity, measured in available cargo tonne kilometers (ACTKs), shrank by 42% (down
-40.9% for international markets).

Belly capacity for international air cargo
shrank by 75%, though this was partially offset by a 15% increase in capacity through expanded
use of freighter aircraft.

Cargo load factor (CLF) rose 11.5 percentage
points in April, the largest increase since tracking began. The
magnitude of the rise suggests that there is significant demand
for air cargo which cannot be met owing to the cessation of most
passenger flights.

Boeing 747F. Picture by Steven Howard of Click to enlarge.

“There is a severe capacity crunch in air cargo.
Demand fell by 27.7% compared to April 2019. But capacity was down
42% because of the sharp cuts in passenger operations which also
carry cargo,” said Alexandre de Juniac, IATA’s Director General
and CEO. “The result is damaging global supply chains with longer
shipping times and higher costs. Airlines are deploying as much
capacity as possible, including special charter operations and the
temporary use of passenger cabins for cargo. Governments need to
continue to ensure that vital supply lines remain open and
efficient. While many have responded with speed and clarity to
facilitate the movement of cargo, government red-tape—particularly
in Africa and Latin America—is preventing the industry from 
flexibly deploying aircraft to meet the demands of the pandemic
and the global economy.”

Delays in getting operational permits issued,
blockages at the border and inadequate ground infrastructure
to/from and within airport environments continue to hamper air
cargo in countries in Africa and Latin America. Air cargo needs to
move efficiently throughout the entire supply chain to be
effective. IATA urges governments to:

– Accelerate approvals for cargo operations;

Expedite customs clearance for urgently needed medical supplies;
– Ensure there is adequate staff on the ground and land-based
infrastructure to move cargo efficiently.

Asia-Pacific airlines saw demand for international
air cargo fall by 28.1% in April 2020, compared to the same period
a year earlier. However, the large Asia-North America market
recorded less of a decline (7.3%) due to the rise in movement of
personal protective equipment (PPE). International capacity
decreased 42.5%.

North American carriers reported a fall in
international demand of 20.1% year-on-year in April. This was the
smallest contraction of all regions. While still a significant
drop, it remains less than the decline seen at the height of the
Global Financial Crisis in April 2009 (-32.3%). International
capacity decreased 27.7%.

European carriers reported a 33.8% annual drop in
international cargo volumes in April, much sharper than the
outcome for March (-18.5%). However, the large Europe-Asia market
recorded less of a decline due to the rise in movement of PPE.
International capacity decreased 46.9%.

Middle Eastern carriers reported a decline of
36.2% year-on-year in April, significantly worse than 14.1% fall
in March. Despite a number of carriers in the region maintaining
some cargo capacity, traffic on all key routes was low.
International capacity decreased 42.4%.

Latin American carriers posted the sharpest fall—a
38.9% year-on-year decline in international demand. International
capacity decreased 55.5%. The COVID19 crisis is particularly
challenging for airlines based in Latin America owing to strict
containment measures and a lack of support from Governments to
keep cargo moving.

African airlines were less affected by disruptions
from COVID19 than other regions in April. They saw year-on-year
international CTKs fall by 20.9%. The small Africa-Asia market was
the most resilient route in April, down only 1.0%. International
capacity decreased 36.6%.

See latest

Travel News
and other
news regarding:






Langham Signs Hotel and Residences in Australia 
IATA Reports Signs of Recovery as RPKs Plunge 94.3% in April 
AirAsia Offers Unlimited Flight Date Changes 
Qatar Airways to Resume Flights to Venice, Italy 
Hong Kong Airlines Appoints APG as GSA in Canada and USA 
Amadeus Integrates Troovo’s RPA Engine into its B2B Wallet 
Delta to Continue Blocking Middle Seats and Limit Pax Per Cabin 
Severe Capacity Crunch in Air Cargo; ACTKs Down 42% in April 
Park Hyatt Opens in Suzhou, China 
Virgin Atlantic to Increase Cargo-Only Flights by 35% in June 
FlyArystan to Launch Flights to Aktau, Atyrau and Aktobe 
Dassault Completes Falcon 900B Passenger to Cargo Conversion in 8 Days 
IATA Urges Governments to Implement ICAO’s Guidelines for Restoring Air Travel 
Iain Langridge Joins Belmond as Divisional MD Asia Pacific 
A400M Completes Full Paratrooper Simultaneous Dispatch Certification 
Mandarin Oriental Hong Kong to Close Pierre and the M Bar 
Korean Air Adds Baggage Tracking Service to Skypass App 
Fiji Airways Cancels All Int. Flights in July; Warns of August Reductions 
Shinta Mani Wild Continues to Support Wildlife Alliance Rangers in Cambodia 
Southwest Airlines Expands Partnership with Sabre 
Bombardier Concludes Sale of CRJ Series Regional Jet Program to Mitsubishi 
airBaltic to Resume Flights Between Riga and Paris, France 
British Airways Removes Seats from Two Boeing 777-200s 
New COVID19 Preventive Measures as HKIA Resumes Transit Services 
Mekong Tourism Forum 2020 Postponed to 15-16 February 2021 
Joanna Gunn Joins Rosewood Hotel Group as Chief Brand Officer 
Bangkok Airways Waives Fees; Offers 20kg Extra Baggage Allowance 
Gulf Air Resumes Pakistan Flights 
CWT Partners SAP Concur Solutions 
Finnair Asks FFP Members How They Feel About Flying Again 
Airbus A400M Receives Automatic Low Level Flight Certification 
COVID19 Interview with GM of Courtyard by Marriott Siem Reap, Ms. Ashley Lai 
Int. Passenger Numbers of Asia Pacific Airlines Down 98.8% in April 
Marriott Warns of More Cutbacks; Extends Furloughs and Reduced Work Weeks 
Air Canada Cargo Expands Network with 5 New Destinations 
SAS to Operate More Flights in June 
Arna Wahl Davies Appointed Chair of CINZ’s PCO Group 
Boeing Resumes Production of 737 MAX 
United Airlines Turns Old Uniforms into Masks for Employees 
Aviation: Heavy New Debt Levels Will Weigh Down Airline Recovery 
Thai Airways Flies Stranded Italians and Thais Back Home 
Congo Airways Converts E175 Deal into Order for Two E190-E2s 
Finnair Signs 10-Year Global Maintenance Agreement with ATR 
Air Canada Looking to Raise Over $1 Billion with Shares and Notes 
Air Astana Establishes Cargo Division 
Hotels in Asia Pacific Report April Drop in ADR, OR and RevPAR 
Fiji Airways Secures Vital Support from Government 
Iain McCormack Joins Vakkaru Maldives as GM 
Grand Richmond Hotel in Nonthaburi Launches Quarantine Package 
airBaltic Reports 500% Increase in Bookings 
Wetherspoon Unveils Social Distancing and Hygiene Plans for 875 Pubs 
Air New Zealand Reopens Airport Lounges 
Fiji Airways Cuts Workforce by Over 50%; Reduces Salaries and Working Hours 
Air Canada to Operate Flights to 97 Destinations This Summer 
Hertz Files for Chapter 11 Bankruptcy Protection in USA 
Lufthansa Technik to Fit Three A350s with VIP Cabins for German Air Force 
Executive Appointments as Norwegian Restructures Management 
CAE USA to Develop C-130J Simulators for AFSOC 
AirAsia Extends Credits for 2 Years 
Rolls-Royce to Layoff at Least 9,000 People 
A Song of Support and Thanks to the NHS Staff of Ysbyty Enfys, Llandudno 
Aviation: Global Coordination Needed for COVID19 Measures 
British & Irish Lions Appoints CFO and Director of Marcom 
Hannah Loughlin Joins Six Senses Con Dao as DOSM 
Finnair Looking at More Layoffs 
SITA Invests in Digital IDs Designed to Replace Traditional Passports 
United Airlines Partners Clorox and Cleveland Clinic to Launch CleanPlus 
Biosecurity for Air Transport: A Roadmap for Restarting Aviation 
airBaltic to Resume Flights from Riga to Berlin, Helsinki and Munich 
Etihad Airways Expands Flight Schedule 
Eric Hallin Appointed GM of Six Senses Con Dao in Vietnam 
Mekong Innovative Startups in Tourism 2020 Calls for Applications 
Qatar Airways Starts Codesharing with American Airlines 
Airbus Opens First Dedicated A220 Production Facility in USA 
Delta Installing Plexiglass Shields at Airports 
Finnair to Resume Long Haul Flights in July with Strong Focus on Asia 
Hong Kong to Target Domestic Tourism; Reports April Visitor Arrivals 
Airbnb Appoints Tara Bunch as Global Head of Operations 
Hyatt to Layoff 1,300 People Globally 
Thai Airways Extends Suspension of International Flights 
Air France to Resume Select Flights 
Etihad Holidays Partners dnata Travel Group in UK 
IHG Expands Cleaning Protocols at Hotels Worldwide 
Finnair Increases Cargo Capacity by Removing Seats from Two A330s 
PG to Resume Flights to Chiang Mai, Lampang, Phuket and Sukhothai 
Cathay Pacific and Cathay Dragon Carried Just 13,729 Passengers in April 
Singapore Airlines Group’s RPKs Down 99.6% in April 
HKIA Handled 32,000 Pax and 9,445 Flight Movements in April 
Smiths Detection Launches UVC Light Kits for Airport Security Checkpoints 
Boeing’s X-37B Autonomous Spaceplane Sets Off on 6th Mission 
History of Conwy, North Wales – Interview with Councillor Bill Chapman 
Qatar Airways to Resume Flights to Brisbane, Australia 
Delta to Operate Passenger Flights to Frankfurt and London 
MICE: New Zealand Limits Events to 100-People 
Mike Delaney to Lead Boeing’s Confident Travel Initiative 
Delta to Retire Boeing 777s by Year-End 
Air Astana Celebrates 18th Anniversary with Resumption of Domestic Flights 
Emercom of Russia Takes Delivery of First Ansat Helicopter 
Emirates Unveils Plan to Resume Flights to Nine Destinations 
Hong Kong Int. Airport Makes it Compulsory to Wear a Mask 
Korean Air Outlines Plan to Secure KRW 2.2 Trillion to Overcome COVID19 
IATA Takes Pessimistic Look at Future of Air Travel 
AirAsia Introduces Contactless Technology to Enhance Safety 
WHO Launches Two COVID19-Related Mobile Apps 
UK’s Civil Aviation Authority Signs MOU with Boeingv 
Kevin Schmidt Re-Elected as Chairman of Security Manufacturers Coalition 
Cebu Pacific’s COVID19 Safety Measures 
AirAsia Philippines Cancels All Domestic and Int. Flights Until 31 May 
Changi Airport in Singapore to Close T4 
American Airlines Expands International Cargo Schedule 
Hahn Air Appoints EVP Research & Development 
United Airlines Appoints Brett J. Hart as President 
Finnair to Require All Passengers to Wear Masks 
Luis Gallego to Succeed Willie Walsh as CEO of IAG 
Hyatt and American Offer Holidays to NYC Health + Hospitals/Elmhurst Staff 
Craig Smith to Become Marriott’s Group President – International 
UNWTO: 72% of Countries Have Closed Borders to International Tourism 
Etihad to Launch Scheduled Flights Between Melbourne and London Heathrow 
Resumption of International Air Travel Requires Global Approach 
Qatar Airways Giving Away 100,000 Free Tickets to Frontline Healthcare Professionals 
Bombardier Wins Delhi-Meerut Regional Rapid Transit System Contract 
Saab Appoints New CFO and Deputy CEO 
Boeing Uses Three Dreamlifters to Transport PPE from China to USA 
International Visitor Arrivals Could Fall 60-80% in 2020 
Thailand to Promote Domestic Tourism First 
HD Videos and Interviews 
Podcasts from HD Video Interviews 
Travel Trade Shows in 2020 and 2021 
High-Res Picture Galleries 
Travel News Asia – Latest Travel Industry News 

You May Also Like