IATA: slight improvement in air travel

The International Air Transport Association (IATA) reports passenger demand for June 2021 shows a very slight improvement in both international and domestic air travel markets. However, demand remains significantly below pre-COVID-19 levels owing to international travel restrictions.

Total demand for air travel in June 2021 (measured in revenue passenger kilometres) was down 60.1% compared to June 2019. That was a small improvement over the 62.9% decline recorded in May 2021 versus May 2019.

International passenger demand in June was 80.9% below June 2019, an improvement from the 85.4% decline recorded in May 2021 versus two years ago. All regions with the exception of Asia-Pacific contributed to the slightly higher demand.

Total domestic demand was down 22.4% versus pre-crisis levels (June 2019), a slight gain over the 23.7% decline recorded in May 2021 versus the 2019 period. The performance across key domestic markets was mixed, with Russia reporting robust expansion while China returned to negative territory.

“We are seeing movement in the right direction, particularly in some key domestic markets. But the situation for international travel is nowhere near where we need to be. June should be the start of peak season, but airlines were carrying just 20% of 2019 levels. That’s not a recovery, it’s a continuing crisis caused by government inaction,” said Willie Walsh, IATA’s Director.

Key findings in the latest IATA report include:

  • Asia-Pacific airlines’ June international traffic fell 94.6% compared to June 2019, unchanged from the 94.5% decline in May 2021 versus May 2019. The region had the steepest traffic declines for an eleventh consecutive month.
  • European carriers saw their June international traffic decline 77.4% versus June 2019, a gain from the 85.5% decrease in May compared to the same month in 2019.
  • Middle Eastern airlines posted a 79.4% demand drop in June compared to June 2019, improving from the 81.3% decrease in May, versus the same month in 2019.
  • North American carriers’ June demand fell 69.6% compared to the 2019 period, improving from the 74.2% decline in May versus two years ago.
  • Latin American airlines saw a 69.4% drop in June traffic compared to the same month in 2019, improved over the 75.3% decline in May compared to May 2019.
  • African airlines’ traffic fell 68.2% in June versus the same month two years ago, an improvement from the 71.5% decline in May compared to May 2019.
  • China’s domestic traffic returned to negative territory in June, declining 10.8% compared to June 2019, following a 6.3% growth in May versus the same period in 2019. New restrictions had been introduced following a COVID-19 outbreak in several Chinese cities.
  • US domestic traffic improved from a 25.4% decline in May versus the same month in 2019, to a 14.9% decline in June. Life in the US was starting to see some normalcy following the easing of measures and the rapid rollout of the COVID-19 vaccination.

Willie Walsh of IATA comments; “A risk-managed re-connecting of the world is what we need. Vaccinated travellers should have their freedom of movement returned. An efficient testing regime can sufficiently manage risks for those unable to be vaccinated. Some governments are moving in this direction. The UK, Singapore and Canada have indicated timelines to open their borders without quarantine for vaccinated travellers. The European Commission has recommended that its member states adopt travel protocols that are closely aligned with the WHO, including testing for unvaccinated travellers. Similar moves to re-open borders in line with the WHO guidance by the USA would give critical impetus to demonstrating that we can live and travel while managing the risks of COVID-19.”

IATA (International Air Transport Association) represents 290 airlines comprising 82% of global air traffic.