Air freight growth slowing as demand softens

© Prayuth Gerabun

IATA has released its third-quarter report for 2018. It seems last year’s buoyant air freight market is slowly deflating, with the association noting a “moderation in demand momentum”. In the three months to July, growth in freight tonne km (FTKs) slowed to just 2.8%, representing the slowest rate of growth in more than two years. This, the report says, is largely linked to the fact the inventory restocking cycle – which had been so important in the boom times of 2016 and 2017 – has “run its course”.