Page 4 - World ATM Directory & ANSP Report 2020
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 4 / WORLD ATM DIRECTORY & ANSP REPORT 2020
INTRODUCTION
Slower but Steady Growth in 2019
Geneva - The International Air Transport Association (IATA) announced full-year global passenger traffic results for 2019 showing that demand (revenue passenger kilometers or RPKs) rose by 4.2% compared to the full year of 2018.
The 2019 result is a slowdown compared to 2018’s annual growth of 7.3% and marked the first year since the global financial crisis in 2009 with passenger demand below the long-term trend of around 5.5% annual growth. Full-year 2019 capacity climbed 3.4%, and the load factor rose 0.7 percen- tage point to a record high of 82.6%. The previous high was 81.9% set in 2018.
December 2019 RPKs increased 4.5% against the same month in 2018. That was an improvement over the 3.3% annual growth recorded in November, primarily due to solid demand in North America.
“Airlines did well to maintain steady growth last year in the face of a number of challenges. A softer economic back- drop, weak global trade activity, and political and geopolitical tensions took their toll on demand. Astute capacity manage- ment, and the effects of the 737 MAX grounding, contributed to another record load factor, helping the industry to manage through weaker demand and improving environmental perfor- mance,” said Alexandre de Juniac, IATA’s Director General and CEO.
European carriers saw a 4.4% traffic rise in 2019, which was down from 7.5% annual growth in 2018. Capacity rose 3.7% and load factor increased 0.6 percentage point to 85.6%, which was the highest for any region. The lowered results are attributable to generally slowing economic activity; decli- ning business confidence, compounded by industrial disputes (strikes); Brexit uncertainty and the collapse of a number of airlines.
Middle East carriers’ passenger demand increased 2.6% last year, the slowest pace of expansion among all regions and down from 4.9% growth in 2018. However, demand began to recover in the fourth quarter and the monthly growth of 6.4% in December led all regions. Annual capacity climbed 0.1% and load factor surged 1.8 percentage points to 76.3%.
North American airlines saw traffic growth slow to 3.9%
last year, down from 5.0% in 2018, amid softer US economic activity and weaker business confidence compared to 2018. Capacity climbed 2.2%, and load factor strengthened 1.3 per- centage points to 84.0%, second highest among the regions.
Latin American airlines’ traffic climbed 3.0% in 2019, a dramatic slowdown compared to 7.5% annual growth in 2018. Capacity rose 1.6% and load factor increased by 1.1 percentage points to 82.9%. The year was impacted by social unrest and economic difficulties in a number of countries in the region.
African airlines led all regions with a 5.0% demand increase, down from 6.3% growth recorded for 2018. Capacity rose 4.5%, and load factor edged up 0.3 percentage point to 71.3%. Airlines in the region benefitted from a generally sup- portive economic backdrop in 2019 as well as increases in air transport connectivity.
Domestic Passenger Markets
Domestic air travel climbed 4.5% in 2019, which was down from 7.8% in 2018. All markets showed annual growth, led by China and Russia. Capacity rose 4.1% and load factor was 83.7%, up 0.4% percentage point compared to 2018.
December 2019 (% year-on- year)
 World share1
  RPK
  ASK
PLF (%-pt)2
 PLF (level)3
Total Market
 100.0%
 4.2%
 3.4%
 -0.7%
 82.6%
 Africa
2.1%
4.9%
4.7%
0.1%
71.7%
 Asia Pacific
  34.7%
  4.8%
  4.5%
  0.2%
  81.9%
 Europe
26.8%
4.2%
3.6%
0.5%
85.2%
 Latin America
 5.1%
 4.2%
 2.9%
 1.0%
 82.6%
 Middle East
  9.0%
  2.4%
  0.1%
  1.7%
  76.2%
 North America
22.3%
4.1%
2.8%
1.0%
84.9%
      December 2019 (% year-on- year)
World share1
RPK
 ASK
PLF (%-pt)2
PLF (level)3
Domestic
 36.2%
 4.5%
 4.1%
 0.4%
 83.7%
 Australia
 0.8%
 0.1%
 0.1%
 0.0%
 80.1%
 Brazil
1.1%
0.4%
-1.4%
1.5%
82.7%
 China P.R
 9.8%
 7.8%
 8.2%
 -0.3%
 84.6%
 India
 1.6%
 5.1%
 4.2%
 0.7%
 84.7%
 Japan
  1.1%
  3.9%
  2.8%
  0.8%
  73.8%
 Russian Fed.
1.5%
6.7%
7.1%
-0.3%
83.2%
US
14.0%
4.5%
3.5%
0.8%
85.5%
 1 % of industry RPKs in 2019
2 Year-on-year change in load factor 3 Load factor level
INTERNATIONAL PASSENGER MARKETS
2019 international passenger traffic climbed 4.1% compared to 2018, down from 7.1% annual growth the year before. Capacity rose 3.0% and load factor edged up 0.8 percentage point to 82.0%.
Asia-Pacific airlines’ full-year traffic increased 4.5% in 2019, which was a large decline compared to 8.5% growth in 2018. This reflected the impact of the US-China trade war as well as wea- kening business confidence and economic activity. Capacity rose 4.1%, and load factor ticked up 0.3 percentage point to 80.9%.
1 % of industry RPKs in 2019
2 Year-on-year change in load factor 3 Load factor level
  
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