Global FTKs in Feb-2016 skewed by 2015 US port strikes and timing of Lunar New Year: IATA

IATA stated (06-Apr-2016) a 5.6% year-on-year decrease in global FTKs in Feb-2016 was heavily skewed by a spike in airfreight caused by US port strikes in early 2015 and the timing of Lunar New Year, which fell in Feb-2016. IATA director general and CEO Tony Tyler said improving airfreight's value proposition with modernised processes remains a top priority in the absence of an immediate resurgence in demand. Mr Tyler said: "February's performance continues a weak trend. And there are few factors on the horizon that would see this change substantially." IATA gave the following regional details:

• Africa: Nigeria and South Africa, the region's largest economies, suffered from a commodity slump over the last 18 months;
• Asia Pacific: Recorded the largest FTK decrease of any region in Feb-2016, reflecting the positive impact of US port strikes in Feb-2015. The region's weak trading backdrop was also exaggerated by the closure of many factories for Lunar New Year. China's export values decreased 25% in Feb-2016;
• Europe: Business surveys, particularly in Germany, give a poor assessment of the region's prospects. The result is in line with trends since the Global Financial Crisis. European airfreight volumes are barely higher than in 2008;
• Latin America: Volumes on North America-South America routes held up, despite regional markets remaining under pressure and Brazil entering its worst recession in 25 years;
• Middle East: Carriers continued their consistent growth trend, but reduced their rate of route expansion over the past six months, which may account for a relative slowdown in volume growth;
• North America: Prospects for future cargo growth depend on the balance between a stronger US domestic economy supporting import growth and a strong US dollar dampening exports. [more - original PR]