KUALA LUMPUR (Jan 11): Global air freight markets showed that demand, measured in freight tonne kilometers (FTKs), rose 6.8% in November 2016 compared to the year-earlier period, according to the International Air Transport Association (IATA).

In a statement yesterday, the IATA said this was a slight slowdown from the 8.4% annual growth recorded in October 2016 - which was a 20-month high - but was still more than 2.5 times the average annual monthly growth rate of 2.6% over the past decade.

It said that growth in freight capacity, measured in available freight tonne kilometers (AFTKs), slowed to 4.4% November.

IATA said the uptick in freight growth coincides with an increase in the shipment of silicon materials typically used in high-value consumer electronics shipped by air, and an apparent turnaround in new export orders.

It explained that a modal shift to air cargo following the collapse of the Hanjin Shipping Company in August may have also contributed.

IATA director general and CEO Alexandre de Juniac said air cargo enjoyed a strong peak season in November.

“And there are encouraging signs that this growth will to continue into 2017, particularly with the shipment of high-value consumer electronics and their component parts.

“But, the trend in world trade is still stagnant. So it remains critically important for the air cargo industry to continue to improve its value offering by implementing modern customer-centric processes," said de Juniac.