Surge in air cargo demand in May by 12% YOY: Xeneta

The latest figures from supply chain data firm Xeneta show that air cargo demand in May increased by 12% year on year, the fifth month in a row of double-digit increases. Booming e-commerce volumes are propelling this demand, says Xeneta leading air cargo industry towards a double-digit percentage increase in demand this year. Xeneta chief airfreight officer Niall van de Wouw said that the latest demand increase meant it was looking more likely the industry could report double-digit percentage demand growth for the full year. “We can’t use the word ‘surprising’ anymore,” he said. “When we take a mid-term view of the market, with these kinds of numbers, we might be on track for double-digit growth for the year. It is now a possible scenario.” Meanwhile, capacity was up 4% year on year meaning the dynamic load factor for the month increased by three percentage points to 58%. Rates at a global level increased compared with a year ago for the second month in a row – jumping 9% year on year to $2.58 per kg – although this is compared with a low level in 2023.