Market Intelligence: -Airline Aircraft Orders

IATA: Passenger Demand Up 21.5% in February 2024 Compared to February 2023

The International Air Transport Association (IATA) released data for February 2024 global passenger demand with the following highlights:

Total demand, measured in revenue passenger kilometers (RPKs), was up 21.5% compared to February 2023. Total capacity, measured in available seat kilometers (ASK), was up 18.7% year-on-year. The February load factor was 80.6% (+1.9ppt compared to February 2023).

International demand rose 26.3% compared to February 2023; capacity was up 25.5% year-on-year and the load factor improved to 79.3% (+0.5ppt on February 2023).

Domestic demand rose 15.0% compared to February 2023; capacity was up 9.4% year-on-year and the load factor was 82.6% (+4.0ppt compared to February 2023).

Note that February 2024 was a leap year with one extra day compared to February 2023. This slightly exaggerates growth in both demand and capacity to the positive.

“The strong start to 2024 continued in February with all markets except North America reporting double-digit growth in passenger traffic. There is good reason to be optimistic about the industry’s prospects in 2024 as airlines accelerate investments in decarbonization and passenger demand shows resilience in the face of geopolitical and economic uncertainties.  It is critical that politicians resist the temptation of cash grabs with new taxes that could destabilize this positive trajectory and make travel more expensive. In particular, Europe is a worry as it seems determined to lock in its sluggish economic recovery with uncompetitive tax proposals,” said Willie Walsh, IATA’s Director General.

International Passenger Markets

All regions showed double digit growth for international passenger markets in February 2024 compared to February 2023. For the first time, demand for international services exceeded pre-pandemic levels (+0.9% compared to February 2023). This, however, is skewed by February 2024 being a leap-year with an extra day compared to February 2023.

Asia-Pacific airlines saw a 53.2% year-on-year increase in demand. Capacity increased 52.1% year-on-year and the load factor rose to 84.9% (+0.6ppt compared to February 2023), the highest among all regions.

European carriers’ saw a 15.9% year-on-year increase in demand. Capacity increased 16.0% year-on-year, and the load factor was 74.7% (flat compared to February 2023).

Middle Eastern airlines saw a 19.7% year-on-year increase in demand. Capacity increased 19.1% year-on-year and the load factor rose to 80.8% (+0.4ppt compared to February 2023).

North American carriers saw a 16.0% year-on-year increase in demand. Capacity increased 17.6% year-on-year, and the load factor fell to 77.7% (-1.1ppt compared to February 2023).

Latin American airlines’ saw a 21.0% year-on-year increase in demand. Capacity climbed 18.6% year-on-year. The load factor rose to 84.2% (+1.7ppt compared to February 2023).

African airlines’ saw a 20.7% year-on-year increase in demand. Capacity was up 22.1% year-on-year. The load factor fell to 74.0% (-0.8ppt compared to February 2023).

Source: International Air Transport Association
Photo Credit: International Air Transport Association

Related Posts

Airbus Announces Commercial Aircraft Orders and Deliveries for the Month of March 2024

In March 2024, European aircraft manufacturer Airbus:

  • Delivered 63 aircraft to 32 customers
    • 1 A220-100
    • 3 A220-300
    • 23 A320neo
    • 28 A321neo
    • 3 A330-900
    • 3 A350-900
    • 2 A350-1000
  • Secured 137 orders
    • 1 A319neo
    • 10 A320neo
    • 85 A321neo
    • 3 A330-900
    • 5 A350F
    • 6 A350-900
    • 27 A350-1000
  • Year to date Airbus has delivered 142 aircraft to 45 customers.

AFM Team Note – kindly contact us for a detailed excel breakdown of orders and deliveries by airline.

See last month’s order here.

Source: Airbus
Photo Credit: Airbus

Related Posts

Airbus Forecasts North America’s Commercial Aircraft Services Market Value will be US$45 Billion by 2042

North America’s commercial aircraft services market will grow to US$45 billion from US$31 billion today (a 45% increase) by 2042 according to Airbus’ latest Global Services Forecast (GSF).

North America was the first and one of the strongest regions to bounce back in the post pandemic period. Last year proved that more people want to fly domestically and internationally, and that passenger traffic growth will continue at a steady compound annual growth rate (CAGR) of 2.1% in the region according to Airbus’ latest Global Market Forecast.

Driven by the rise in annual air traffic, fleet growth and the requirement for more digitally-enabled and connected aircraft, the growth in demand for services will be reflected in solutions implemented across all phases of the aircraft from delivery to end-of-life including fleet maintenance, aircraft modernization and training.

The market for training and operations is expected to increase from US$2.5 billion in 2023 to US$3 billion in 2042 (+0.8%), with a plateau period following three years of sharp growth as the industry recovered from employee loss during the pandemic. Airbus anticipates a need for 366,000 new skilled professionals in North America over the next 20 years, comprising 104,000 new pilots, 120,000 new technicians and 142,000 new cabin crew members.

“North America is a region of choice when we think about aftermarket services, with many opportunities for additional efficiency, simplification and sustainable operations. Airbus will continue to play an important role in supporting airlines and the aviation industry at large in responding to those opportunities” said Dominik Wacht, Vice President-Customer Services, Airbus North America.

Airbus pioneers sustainable aerospace for a safe and united world. The company constantly innovates to provide efficient and technologically-advanced solutions in aerospace, defence, and connected services. In commercial aircraft, Airbus designs and manufactures modern and fuel-efficient airliners and associated services.

Source: Airbus
Photo Credit: Airbus (shown as meta image)

Related Posts