RIYADH: Global cargo demand in the aviation industry declined by 4.8 percent in March, as escalating conflicts in the Middle East disrupted supply chains and weighed on air freight volumes, latest industry data showed.
In its new report, the International Air Transport Association revealed that cargo demand among carriers in the Middle East region dropped by 54.3 percent year on year in March, while capacity decreased by 52.4 percent.
The escalation of conflict in late February and March triggered widespread airspace closures and flight cancelations across the region, causing severe disruptions at major Gulf cargo hubs, including Dubai, Doha, and Abu Dhabi.
Willie Walsh, director general of IATA, said: “Air cargo demand fell 4.8 percent in March compared to the previous year. This was mostly due to severe disruptions at major Gulf hubs due to the war in the Middle East. The timing of the usual post–Lunar New Year slowdown also added to the decline.”
He said the underlying demand trends in the aviation sector appear strong and that recent revisions to trade and gross domestic product forecasts by the World Trade Organization and the International Monetary Fund continue to point to economic growth in 2026.
“Importantly, air cargo networks are providing the flexibility needed to support global supply chains as they adjust to geopolitical, tariff, and operational strains. All eyes are on fuel supply and price, which are expected to test the industry’s resilience in the coming months,” added Walsh.
According to the report, airlines operating in the African region witnessed the highest cargo demand growth at 7 percent year on year in March. However, capacity of these air carriers declined by 4.6 percent during the same period.
Asia-Pacific airlines saw a 5.4 percent year-on-year growth in air cargo demand in March, while capacity increased by 5 percent.
Among European carriers, cargo demand saw a 2.2 percent year-on-year increase, while airlines in North America witnessed a decline of 1.2 percent.
Latin American and Caribbean carriers saw a 1.8 percent year-on-year increase in demand for air cargo in March, while capacity rose by 5.1 percent during the same period.
