Global air cargo demand reached record levels in 2025, rising 3.4 per cent year on year, according to the International Air Transport Association (IATA).

Capacity increased 3.7 per cent compared with 2024, while yields fell 1.5 per cent, the smallest decline in three years. IATA said yields remain 37.2 per cent above 2019 levels as supply-demand balance normalises after the pandemic.

December 2025 closed strongly, with demand up 4.3 per cent and capacity up 4.5 per cent compared with December 2024. International operations grew faster, with demand up 5.5 per cent and capacity up 6.4 per cent.

Asia-Pacific carriers led growth with an 8.4 per cent rise in demand, while African airlines posted six per cent. North American carriers recorded the only regional decline, down 1.3 per cent. Europe grew 2.9 per cent, the Middle East 0.3 per cent, and Latin America 2.3 per cent.

Trade lane data showed a shift from Asia-North America to Asia-Europe, driven by tariff pressures and the removal of US de minimis exemptions. Europe-Asia demand rose 10.3 per cent, while Asia-North America fell 0.8 per cent.

IATA Director General Willie Walsh said e-commerce strength supported volumes despite tariff uncertainty. He forecast growth moderating to 2.4 per cent in 2026, shaped by trade and geopolitical developments, but stressed air cargo's role in sustaining global supply chains.

Lower jet fuel prices, stronger global trade and improved manufacturing sentiment also supported performance. Mr Walsh said carriers will continue deploying flexible capacity to adapt to shifting trade patterns.