IATA: Air passenger demand 'resilient' in May-2026 despite high fuel prices and airfares

IATA reported (30-Jun-2026) global passenger demand, measured in RPKs, decreased 2.2% year-on-year in May-2026. Excluding the Middle East, demand grew 0.7% and total capacity - measured in ASKs - decreased 2.3%. IATA director general Willie Walsh stated demand "still appeared to be largely resilient in the face of high fuel prices and airfares". Mr Walsh said: "While the recent sharp drop in oil prices is an encouraging development, the challenges created by the war will likely persist for some time". He noted: "Oil supply through the Strait of Hormuz remains uncertain and it is likely to take time before the benefit of lower oil prices is reflected in 'normalised' jet fuel pricing". Mr Walsh concluded: "In the meantime, airlines who are operating on a 2.0% margin will have little choice but to continue testing demand resilience with higher fares that attempt to cover elevated fuel costs". Further details include:

• Passenger load factor (PLF) was 83.5%, +0.1pp and a "record high for May";
• International demand fell 1.6%. Excluding the Middle East, demand grew by 3.1% and capacity was down 2.4%. The PLF was 83.7%, +0.7pp;
• Domestic demand contracted 3.1% and capacity decreased 2.1%. The PLF was 83%, -0.8pp. [more - original PR]