IATA reports mixed domestic market performance in Jun-2019, Russia continues to lead growth

IATA reported (08-Aug-2019) global demand for domestic travel increased 4.4% year-on-year in Jun-2019, a "slight downturn" from 4.7% growth in May-2019. All key domestic markets tracked by IATA reported traffic growth, except Australia and Brazil, with growth led by Russia. IATA reported the following domestic market details:

• Australia: RPKs decreased 1.2% in Jun-2019, following "a flat growth outcome" in May-2019. The market recorded small negative RPK growth in six of the past eight months as "air transport demand stagnates amidst rising concerns around the country's economic outlook";
• Brazil: Traffic decreased a "sizeable" 5.7% in Jun-2019, which was "a worsening" from the 2.7% decrease in May-2019. IATA said the "sharp drop" mainly reflects the collapse of Avianca Brasil, which held a market share of around 14% in 2018;
• China: Growth "picked up modestly" to 8.3% in Jun-2019 but the impact of the slowing Chinese economy on passenger demand is clear, when compared to the market's double digit growth "in the not-so-distant past";
• India: The domestic market continues to recover from the demise of Jet Airways and has "proven resilient", with a 7.9% increase in demand in Jun-2019. The remaining airlines have moved quickly to fill the gap created by the loss of Jet Airways and to meet customer demand;
• Japan: RPK growth slowed to 2.4% in Jun-2019 but maintained "steady upwards growth" when excluding seasonal variation;
• Russia: The strongest domestic market in Jun-2019, recording double digit RPK growth for the 11th consecutive month;
• US: RPK growth slowed to 3.1% in Jun-2019 but maintained "steady upwards growth" when excluding seasonal variation. [more - original PR] [more - original PR - II]