The International Air Transport Association (IATA) reported that global passenger demand for January 2026 rose by 3.8% compared to the same month last year. Despite a slight statistical cooling due to the shifting dates of the Lunar New Year, the industry achieved a record load factor for the month of January, reaching 82.0%.
Global Market Analysis: Resilience in the International Segment
Sector performance during the first month of the year shows a solid expansionary trend, primarily driven by international markets. Total capacity, measured in available seat kilometers (ASK), increased by 3.5% year-on-year.
Segment Performance
- International Market: International demand grew by 5.9% compared to January 2025. Capacity rose by 5.8%, and the load factor reached 82.5%, marking a historical high for the month.
- Domestic Market: Domestic demand saw a marginal increase of 0.1%.
- Load Factor: However, due to a capacity reduction of -0.4%, the domestic load factor climbed to 81.2%.
The year-on-year growth in January was impacted by the timing of the Lunar New Year, which occurred in January in 2025 but shifted to February in 2026. Since this holiday generates a massive travel peak, its absence from this year’s January statistics makes the comparison appear weaker than it is in reality.
Regional Performance: Africa and Latin America at Forefront
Geographically, all regions showed growth in the international market, albeit at markedly different paces.
| Region | RPK Growth (Total) | Load Factor (Total) |
| Africa | +17.9% | 77.0% |
| Latin America & Caribbean | +8.3% | 85.3% |
| Middle East | +7.4% | 83.3% |
| Europe | +6.0% | 80.2% |
| Asia-Pacific | +1.4% | 83.9% |
| North America | +0.8% | 80.2% |
Africa led global growth with a 17.9% increase in total traffic. Meanwhile, Latin America and the Caribbean stood out with 11.4% growth in the international market, achieving a load factor of 86.5%.
In the domestic arena, Brazil continued its positive streak with a 10.9% increase in internal traffic.
IATA Outlook and Challenges
Willie Walsh, IATA’s Director General, noted that industry fundamentals remain strong for the remainder of 2026. Global seat capacity is projected to increase by 5.2% by March, which would represent the fastest expansion since April 2024.
Warnings on Costs and Competition
Walsh also expressed concern regarding several factors that could pressure the industry:
- Airfares: Average fares are expected to decrease in real terms during 2026, following the trend toward greater affordability.
- Cost Pressures: The sector faces increases in infrastructure charges, regulatory burdens, and costs stemming from the energy transition.
- Lack of New Competitors: The year 2025 saw the lowest rate of new airline startups since 1999, which IATA describes as a “red flag” for governments that value competition.
Finally, the organization called upon States to ensure the safety of civil aviation and citizens amidst the uncertainty generated by recent international hostilities, which could impact traffic trends and fuel costs.
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