IATA Reports Continuous Rise in Air Travel Demand

IATA Reports Continuous Rise in Air Travel Demand

Global air travel demand continued to rise in February 2025, according to the latest data released by the International Air Transport Association (IATA). Passenger traffic, measured in revenue passenger kilometers (RPK), recorded a 2.6% increase compared to the same period last year. Total capacity, calculated in available seat kilometers (ASK), grew by 2.0% year-over-year. The load factor for the month stood at 81.1%, reflecting a slight increase of 0.4 percentage points from February 2024.

According to IATA, international passenger traffic increased by 5.6% compared to February 2024. Capacity on international routes expanded by 4.5% year-over-year, with the load factor reaching 80.2%, marking a 0.9 percentage point rise. However, domestic travel experienced a decline, with demand falling by 1.9% and capacity decreasing by 1.7% year-over-year. The domestic load factor stood at 82.6%, showing a slight drop of 0.2 percentage points.

IATA Director General Willie Walsh noted the impact of seasonal variations on travel patterns. “While traffic growth slowed in February, much of this can be explained by factors including the leap year, and lunar new year falling in January compared to February last year. February traffic hit an all-time high, and the number of scheduled flights is set to continue increasing in March and April. But we need to keep a close eye on developments in North America, which saw falls in both domestic and international traffic.”

IATA reports continuous rise in air travel demand

Concerns Over Passenger Rights Policies in Europe

Walsh also addressed ongoing challenges with passenger rights regulations in Europe and the UK. “The recent shut-down of Heathrow reminded us once again that the current passenger rights regime in place in Europe and the UK is not fit for purpose. The annual costs of compensation, care and assistance run into the billions.

Thankfully, the Polish Presidency of the EU has recognised that this is a drag on European competitiveness and is progressing much-needed and long-anticipated reforms to EU261. While many of the proposed reforms are sensible, the package stops short of a real solution. Even with the reforms, EU261 will still target the airlines with penalties even if the root cause of delays is an infrastructure incident out of their control—like we saw at Heathrow.

Over two decades of EU261 have not seen a reduction in delays because infrastructure providers have no incentive to improve their game. Sadly for European travelers, we are likely to see this play out again in this summer’s peak travel season. Genuine reform of EU261 must ensure that all parties responsible for delays have a stake in the consequences.”

IATA reports continuous rise in air travel demand

Regional Airline Performance

Asia-Pacific airlines led international travel growth, recording a 9.5% increase in air travel demand. Capacity expanded by 8.3% year-over-year, and the load factor reached 85.7%. In Europe, passenger traffic grew by 5.7%, while capacity rose by 4.9%, with the load factor at 75.5%. Airlines in the Middle East saw a 3.1% rise in demand, with capacity growing by 1.3% and the load factor standing at 81.9%.

In contrast, North American carriers experienced a 1.5% decline in air travel demand, with capacity decreasing by 3.2% and the load factor recorded at 78.9%. Latin American airlines reported a 6.7% increase in demand, although capacity climbed 9.9%, leading to a load factor of 81.7%. African airlines also saw a 6.7% rise in demand, with capacity increasing by 4.0% and the load factor improving to 75.3%.

IATA reports continuous rise in air travel demand

Domestic air travel demand showed mixed results across different countries. In China, domestic passenger traffic declined by 3.2%, likely due to the timing of the Lunar New Year. The United States saw a 4.2% drop in domestic travel, which may have been influenced by falling consumer confidence.

Meanwhile, India’s domestic market continued to expand, with demand increasing by 13.2% and the load factor reaching 90.3%. Japan experienced a 5.8% growth in demand, with a strong load factor of 83.9%, while Brazil recorded an 8.0% rise in domestic traffic.

Despite seasonal fluctuations and regional challenges, global air travel demand remained strong in February 2025. The industry is set to see continued growth in the coming months, with international travel playing a key role in driving overall passenger traffic, as reported by the IATA.

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