Global air passenger demand hit record highs in 2025

Global passenger demand reached record highs in 2025, with traffic rising 5.3 per cent compared with the previous year, according to data released by the International Air Transport Association (IATA).

Total capacity, measured in available seat kilometres (ASK), increased by 5.2 per cent over the year.

As a result, the overall passenger load factor reached 83.6 per cent, up 0.1 percentage point and a record for full-year traffic.

International travel led the growth. Full-year international demand rose by 7.1 per cent compared with 2024, while capacity increased by 6.8 per cent. The international load factor climbed to 83.5 per cent, up 0.2 percentage point and also a record high.

Domestic markets expanded more modestly. Full-year domestic demand rose by 2.4 per cent, while capacity increased by 2.5 per cent. The domestic load factor averaged 83.7 per cent, down slightly by 0.1 percentage point from 2024.

December, meanwhile, delivered a strong finish to the year.

Overall demand rose by 5.6 per cent year on year, capacity grew by 5.9 per cent, and the passenger load factor stood at 83.7 per cent.

Willie Walsh, IATA’s director general, said 2025 saw demand for air travel grow by 5.3 per cent, with “international demand growing by 7.1 per cent and domestic by 2.4 per cent”, returning industry growth to align with historical patterns after the robust post-COVID rebound.

At the same time, he said the strong and continuous increase in demand brought two challenges into sharp focus, “decarbonization and supply chain”.

On decarbonisation, Walsh said this was essential to protect long-term growth, adding that “governments whose economies grow because of aviation and whose citizens thirst for connectivity need to provide the supportive fiscal policy framework to rapidly accelerate progress”.

In particular, he said action was needed “for the energy sector to grow Sustainable Aviation Fuel (SAF) production”.

Supply chain disruption, however, remained the industry’s most pressing concern.

Walsh said this was “the biggest headache for airlines in 2025”, noting that “people clearly wanted to travel more”, but airlines were “continually disappointed with unreliable delivery schedules for new aircraft and engines, maintenance capacity constraints, and resultant cost increases”.

He said these costs were “estimated to exceed $11 billion”.

As a result, Walsh said airlines “scrambled to accommodate the demand by keeping aircraft in service longer and filling more seats on every flight”, with load factors “just shy of 84%” showing these measures were an effective “band aid”.

However, he said “we need a real solution”, adding that “it’s vital that 2025 proves to be the nadir of the supply chain crisis, and 2026 marks a rebound”.

Looking ahead, Walsh said “every new aircraft means a quieter, cleaner fleet, with more capacity and flight options than at any previous point in history”, which is “what airlines and their customers want to see”.

Regionally, Africa recorded strong momentum in December, with demand up 12.8 per cent year on year, although capacity expanded faster, rising 14.1 per cent. Asia-Pacific demand increased by 6.3 per cent, broadly in line with a 6.1 per cent rise in capacity.

European carriers posted a 7.6 per cent increase in December demand, with capacity up 7.3 per cent, pushing load factors higher. Middle Eastern airlines also delivered a solid performance, with demand rising 9.6 per cent and capacity increasing by 8.3 per cent.

By contrast, North American carriers saw December demand edge down by 0.1 per cent, while capacity rose 2 per cent, weighing on load factors.

Over the full year, Asia-Pacific airlines recorded the strongest regional growth, with traffic up 7.8 per cent and capacity rising 6.5 per cent, lifting load factors by one percentage point to 84.2 per cent.

European carriers saw full-year demand rise by 5.3 per cent, broadly matched by a 5.2 per cent increase in capacity. Middle Eastern airlines posted a 6.8 per cent rise in traffic, with capacity growing by 5.9 per cent.

Latin American carriers delivered robust growth, with demand up 7 per cent over the year, although capacity expanded faster, resulting in a decline in load factors. North America recorded the weakest full-year performance, with demand rising just 0.4 per cent against a 2 per cent increase in capacity.

International travel, in particular, remained resilient. Full-year international traffic rose 7.1 per cent, while capacity increased by 6.8 per cent.

In December, international demand grew by 7.7 per cent, with capacity up 7.9 per cent, leaving load factors slightly lower than a year earlier.

Asia-Pacific airlines led international growth, with full-year traffic up 10.9 per cent and capacity rising 10.2 per cent. European carriers posted a 6 per cent increase in international demand, while Middle Eastern airlines recorded growth of 6.7 per cent.

North American international traffic rose by 2.1 per cent over the year, the slowest pace among regions, while Latin American airlines delivered an 8.6 per cent increase, albeit with a notable decline in load factors.

African airlines recorded a 7.8 per cent rise in international traffic, with load factors improving to a record high for the region, despite remaining the lowest globally.

Domestic markets also reached record highs in passenger numbers and load factors, although growth slowed from the strong rebound seen in 2024. Brazil stood out, with domestic demand rising 11.1 per cent over the year.

By contrast, the United States saw domestic demand contract by 0.6 per cent, alongside the sharpest fall in load factors among major markets.

Finally, Japan recorded the strongest improvement in domestic load factors, while India continued to post the highest domestic load factor overall, despite a modest decline.