- Air Cargo Demand Rises 3.90% In July as Global Trade Gathers Pace — IATA
Global air cargo demand strengthened in July, rising 3.90% year-on-year as expanding international trade, resilient export orders and continued manufacturing activity supported the movement of goods across major markets.
International air cargo demand performed even better, increasing 4.70% compared with July 2025, according to the International Air Transport Association. Global cargo capacity expanded by a slower 1.70%, while capacity on international routes increased 1.80%, helping push the global cargo load factor one percentage point higher to 46.00%.
“Air cargo demand grew 3.9% year-on-year in July. While all regions recorded growth, airlines in Asia-Pacific, Europe and North America accounted for more than 90% of the overall increase,” said Marie Owens Thomsen, IATA’s Senior Vice-President for Sustainability and Chief Economist.
The figures provide a broadly positive signal for global commerce at a time when airlines and logistics companies are contending with high fuel costs, geopolitical disruptions and uncertainty around tariffs. Air freight represents a relatively small proportion of global cargo by weight, but carries a disproportionately large share of high-value and time-sensitive products including electronics, pharmaceuticals, machinery and perishables.
The strength in air cargo was supported by a 7.50% year-on-year increase in global trade in July. The Global Manufacturing Output Purchasing Managers’ Index eased by 0.30 points to 52.70 but remained comfortably above the 50-point threshold separating expansion from contraction, while the New Export Orders Index reached 50.00.
Demand growing faster than available capacity is generally supportive for airlines because it improves aircraft utilisation and can strengthen pricing power. That dynamic was reflected in the higher cargo load factor, although the improvement was uneven across regions.
North American airlines recorded the strongest regional demand growth at 4.80%, followed by European carriers at 4.40%. Asia-Pacific airlines and Latin American and Caribbean carriers each recorded 4.10% growth, while Middle Eastern operators posted a more modest 1.70% increase.
Africa recorded the weakest performance, with cargo demand rising only 1.10%. That contrasted with a 4.10% expansion in capacity, pushing the continent’s cargo load factor down 1.40 percentage points to 45.80%.
The divergence is significant because Africa accounted for only about 2.10% of global air cargo traffic in 2025. The latest numbers suggest the continent’s challenge is not simply expanding available aircraft capacity, but generating sufficient volumes of commercially viable cargo to make that capacity productive.
That distinction is particularly relevant for Ghana as it seeks to strengthen its position as a regional logistics and trading hub. Airport expansion and improved aviation infrastructure can create capacity, but a competitive air cargo industry ultimately depends on the productive sectors capable of consistently filling aircraft with high-value goods.
Agricultural exporters, pharmaceutical companies, manufacturers and technology businesses all benefit from faster access to overseas markets where reliability and delivery time matter. But the infrastructure required extends well beyond the airport itself, encompassing cold-chain facilities, efficient customs systems, warehousing, freight forwarding, digital documentation and reliable ground transportation.
Ghana’s opportunity therefore lies in connecting aviation policy more deliberately with industrial and export strategy. Air cargo becomes economically transformative when airports are not merely receiving imported goods but increasingly moving Ghanaian products into international markets.
IATA also identified an important structural change in the global cargo market, with dedicated freighter aircraft gaining market share as belly-hold cargo carried on passenger aircraft declined.
“Dedicated freighters gained market share as belly-hold traffic declined, possibly reflecting demand for larger or specialist shipments and the operational flexibility that freighters can provide,” Thomsen said.
The shift could benefit emerging logistics hubs capable of attracting specialist cargo operators. Unlike passenger aircraft, whose freight capacity depends on passenger schedules, dedicated freighters can offer greater flexibility in routing, timing and the types of shipments they carry.
But stronger demand is being accompanied by a significant cost challenge. Jet fuel prices rose 12.20% month-on-month in July and were 56.90% higher than a year earlier, threatening to absorb some of the financial benefit from stronger cargo volumes.
Fuel is one of the largest expenses for airlines, and sharp price increases can quickly squeeze margins, particularly where competition prevents carriers from passing the full increase through to customers. Airlines operating older and less fuel-efficient aircraft face an even greater burden.
Higher aviation fuel costs can also migrate beyond airline balance sheets. If carriers respond by raising freight rates, importers and exporters face higher logistics costs, potentially reducing the competitiveness of businesses operating on narrow margins.
For African economies, where logistics costs already rank among the obstacles to international competitiveness, that is particularly important. The continent cannot afford to combine weak cargo volumes with structurally higher transportation costs.
The July figures consequently expose a wider gap between Africa and the strongest global trading regions. Global trade expanded 7.50%, air cargo demand increased 3.90%, yet African airlines generated demand growth of only 1.10% despite adding significantly more capacity.
For Ghana, the lesson is that aviation infrastructure alone cannot create a cargo hub. The country needs stronger coordination between airports, customs authorities, exporters, freight companies and industrial policy to generate the products and volumes required to sustain international air freight.
Ghana’s agricultural potential offers one route, particularly for perishables and higher-value processed foods where speed to market is critical. Pharmaceuticals, light manufacturing and other time-sensitive industries could provide additional cargo volumes if domestic production expands and logistics become sufficiently reliable.
Despite the challenges, IATA remains broadly positive about the outlook. Thomsen said manufacturing activity, export orders and global trade continued to provide support, although fuel prices, geopolitical tensions and tariff uncertainty remained significant risks.
The July numbers therefore point to a global air cargo market that is strengthening, but not uniformly. Demand is growing faster than capacity and trade remains supportive, while escalating fuel costs threaten profitability and geopolitical tensions continue to reshape individual routes.
For Ghana and the wider African continent, the larger issue is whether that global expansion can be converted into domestic economic value. The real prize is not simply handling more cargo at African airports, but increasing the proportion of that cargo produced, processed and exported by African businesses.
That is ultimately where the significance of the 3.90% increase lies. It is not merely evidence that more goods are moving through the skies; it is a measure of which economies are positioned to capture value from the next phase of global trade.
