Air travel demand bounces back from eight-month low: IATA

Air travel demand bounces back from eight-month low: IATA

GENEVA — Global passenger air traffic rebounded in October, with demand (measured in revenue passenger kilometers, or RPKs) up 6.3% compared to October 2017, says IATA.

The October stat also marked a rebound from 5.5% growth recorded in September 2018, which was an eight-month low. Capacity also grew 6.3% and load factor was flat at 81.1%, matching last year’s record for the month.

“October’s healthy performance is reassuring after the slower demand growth in September – some of which was attributable to weather-related disruptions,” said Alexandre de Juniac, IATA’s Director General and CEO.

“However, the bigger picture is that traffic growth has moderated compared to earlier in the year, reflecting a more mixed economic backdrop and reduced demand stimulation from lower fares.”

Traffic for North American airlines climbed 5.6% in October compared to the year-ago period, up from 4.9% growth in September. Strong momentum in the U.S. economy is helping to drive robust international demand, says IATA. Capacity rose 3.7% and load factor surged 1.4 percentage points to 80.4%.