Asia Pacific airlines return to passenger growth as cargo demand rises

Asia Pacific airlines carried 30.4 million international passengers in September, up 0.7% year on year and ending five consecutive months of declines, according to preliminary figures from the Association of Asia Pacific Airlines (AAPA). Passenger demand, measured in revenue passenger kilometres, rose 5.9%, while seat capacity expanded 6.8%, lowering the average load factor by 0.6 percentage points to 80.2%. Cargo demand grew more strongly, outpacing freight capacity growth.

International cargo demand, measured in freight tonne kilometres, increased 6.4% against a 4.9% rise in available freight capacity. The average freight load factor gained 0.8 percentage points to 60.3%. AAPA linked the increase to stronger manufacturing activity, purchases of raw materials and components, and demand for goods associated with artificial intelligence.

For the first nine months of 2026, the region’s airlines carried 289.5 million international passengers, up 1.9% year on year, while cargo demand rose 5.6%. AAPA Director General Wong Hong cited stronger growth in longer-haul travel in September. He identified high jet-fuel prices, airspace restrictions and weaker Asian currencies as pressures on airline costs and profitability.

Wong expects year-end holiday travel to support passenger demand and continued investment in AI infrastructure to sustain cargo flows. Higher travel and shipping costs, geopolitical tensions and changes in trade policy remain risks to the outlook.