Korean Air reported a 4.7 per cent drop in cargo revenue for the third quarter, citing increased tariff risks from the US and China, reported Reuters.

The airline said cargo revenue fell to KRW1 trillion (US$700 million) compared to the same period last year. Passenger revenue also declined 7.5 per cent during the quarter.

Korean Air attributed the slowdown in air cargo growth to weaker demand for online shopping and heightened trade tensions between the US and China. The company noted ongoing uncertainty in the global shipping sector.

Despite current challenges, the airline expects online shopping demand to rise during the year-end holiday season, which may support cargo volumes in the coming months.