IATA: Air Travel Marks Solid Growth in March Despite Capacity Shortfall

International air travel in March and in Q1 continued its upward trend despite a capacity shortfall, according to the International Air Transport Association (IATA).

More specifically, total traffic (domestic and international) in March increased by 52.4 percent compared to March 2022 recouping 88.0 percent of March pre-Covid 2019 levels while demand increased by 3.5 percentage points.

Domestic traffic in March also rose by 34.1 percent against 2022 achieving 98.9 percent of March 2019 levels.

International traffic rose by 68.9 percent over March 2022 with all markets reporting robust growth, said IATA. Leading the way, airlines in the Asia-Pacific region where traffic reached 81.6 percent of March 2019 levels and load factor at 81.3 percent exceeding March 2019 levels by 10.1 percentage points.

Airlines in Europe posted a 38.5 percent traffic rise in March compared to the same month in 2022 with capacity up by 27.0 percent and load factor by 6.6 percentage points to 79.4 percent.

Asia-Pacific airlines marked a 283.1 percent increase in March 2023 year-on-year and North American carriers saw traffic rise by 51.6 percent over the 2022 period.

“The calendar year first quarter ended on a strong note for air travel demand. As traveler expectations build towards the peak northern hemisphere summer travel season, airlines are doing their best to meet the desire and need to fly. Unfortunately, a lack of capacity means that some of those travelers may be disappointed. Part of this capacity shortfall is attributable to the widely reported labor shortages impacting many parts of the aviation value chain, as well as supply chain issues affecting the aircraft manufacturing sector that is resulting in aircraft delivery delays,” said IATA Director General Willie Walsh.

IATA Director General Willie Walsh. Photo source: IATA

IATA’s chief went on to add that a significant share of recent flight cancelations, primarily in Europe, are due to job actions by air traffic controllers and others which resulted in thousands of unnecessary cancelations in March. “This is unacceptable and should not be tolerated by the authorities,” said Walsh.

Moreover, he said that ticket sales for both domestic and international travel give every indication that strong growth will continue into the peak northern hemisphere summer travel season.