Global air passenger demand fell 1.7 per cent in June compared with a year earlier, as weaker domestic travel in China, the US and Japan combined with continued disruption across the Middle East. 

The latest International Air Transport Association (IATA) figures showed that airline capacity, measured in available seat kilometres, decreased by 1.3 per cent year-on-year, while the global passenger load factor slipped by 0.4 percentage points to 84.2 per cent. 

However, the Middle East continued to weigh heavily on the overall figures. Excluding the region, global passenger demand declined by a more modest 0.6 per cent. 

International travel proved more resilient, with demand falling by 0.9 per cent and capacity decreasing by 0.6 per cent. Without the Middle East, international demand would have increased by 1.1 per cent. Meanwhile, the international load factor stood at 84.2 per cent, down 0.2 percentage points. 

By comparison, domestic demand contracted by 3 per cent, while capacity decreased by 2.4 per cent and the load factor fell by 0.5 percentage points to 84 per cent. 

IATA director general Willie Walsh said that “global demand for air travel was down 1.7 per cent in June compared to 2025”, explaining that “this is largely due to domestic market declines in China, the US, and Japan, and weak but improving international demand for Middle East carriers”. 

Middle Eastern airlines recorded by far the sharpest regional decline, with total passenger demand falling 13.9 per cent and capacity decreasing by 11.3 per cent. The region’s load factor dropped by 2.3 percentage points to 76.1 per cent. 

International demand among Middle Eastern carriers fell 14 per cent, although the rate of decline has halved month-on-month since April as airline operations gradually returned to normal. The comparison was also affected by military strikes in June 2025, which had already reduced traffic during the corresponding month last year. 

Nevertheless, Walsh warned that “while Middle East performance improved, renewed tensions will not help the region’s recovery and the knock-on impact of rising fuel prices will continue to burden travelers with higher airfares”. 

Elsewhere, European airlines recorded a 1.5 per cent increase in international demand, accompanied by a 2 per cent rise in capacity. The load factor remained the highest among the international regions at 87.1 per cent, despite falling by 0.5 percentage points. 

Travel between Europe and Asia increased by 11 per cent, making it the fastest-growing of the major international aviation corridors. 

Asia-Pacific airlines registered a 0.4 per cent increase in international demand, while capacity fell by 1.1 per cent, pushing the load factor 1.3 percentage points higher to 84 per cent. However, higher fuel prices prompted some airlines to reduce short-haul services, with capacity on international routes within Asia falling by 4.8 per cent. 

African airlines delivered the strongest international growth at 6.7 per cent, although capacity increased slightly faster at 7 per cent. Latin American carriers recorded a 3.5 per cent rise in demand, but their 6.3 per cent capacity increase pushed the load factor down by 2.2 percentage points to 81.6 per cent. 

North American international demand declined by 1 per cent, broadly matching a 0.7 per cent reduction in capacity, while the load factor remained high at 86.9 per cent. 

In domestic markets, China recorded the steepest decline, with demand falling 5.2 per cent, followed by Japan at 3.8 per cent.

Demand decreased by 1.2 per cent in the US and 0.5 per cent in India, while Australia remained unchanged. Brazil was the only major domestic market to report growth, with demand rising by 0.9 per cent, although its load factor fell by 2.5 percentage points.

Despite the weaker figures, Walsh said that “people continue to travel, which is an important contributor to global economic growth”.

He added that “there is no doubt, however, that stabilising the situation in the Middle East and normalising oil supplies would improve prospects for airlines, economies, and societies the world over”.