Global Air Travel Hits Record Demand in 2025, IATA Reports

Total passenger demand for the year, measured in revenue passenger kilometres (RPKs), rose 5.3% compared with 2024, broadly matched by a 5.2% increase in capacity.


Devdiscourse News Desk | Geneva | Updated: 30-01-2026 15:06 IST | Created: 30-01-2026 15:06 IST
Global Air Travel Hits Record Demand in 2025, IATA Reports
IATA said the 2025 results confirm the resilience of global air travel demand, even as airlines operate under tight capacity conditions. Image Credit: ChatGPT

Global passenger demand for air travel reached record highs in 2025, as the aviation industry returned to more typical growth patterns following the post-pandemic rebound, according to new full-year and December data released by the International Air Transport Association (IATA).

Total passenger demand for the year, measured in revenue passenger kilometres (RPKs), rose 5.3% compared with 2024, broadly matched by a 5.2% increase in capacity. The global passenger load factor climbed to a record 83.6%, reflecting airlines’ continued ability to fill seats despite persistent operational constraints.

International travel was the main growth engine. Full-year international demand increased 7.1%, with capacity up 6.8%, pushing the international load factor to a record 83.5%. Domestic travel grew more modestly, with demand rising 2.4% and capacity expanding 2.5%, resulting in an average load factor of 83.7%.

December 2025 capped the year with strong momentum. Overall demand rose 5.6% year-on-year, capacity increased 5.9%, and the global load factor stood at 83.7%, underlining the sustained appetite for air travel.

IATA Director General Willie Walsh said 2025 marked a return to historical growth rates after the exceptional post-COVID recovery, but also exposed two major challenges facing the industry: decarbonisation and supply-chain disruption.

He said long-term growth depends on accelerating progress on decarbonisation, particularly through government policies that enable rapid scaling of Sustainable Aviation Fuel (SAF) production. At the same time, supply-chain constraints—ranging from delayed aircraft and engine deliveries to limited maintenance capacity—created an estimated $11 billion in additional costs for airlines in 2025.

Walsh said airlines responded by keeping aircraft in service longer and maximising seat occupancy, pushing load factors close to 84%. While these measures helped meet demand, he stressed they are not a permanent solution and said 2026 must mark a turning point for the global aerospace supply chain.

Regional performance highlights

Asia-Pacific led global growth, with full-year passenger demand up 7.8% and capacity rising 6.5%, delivering the highest load factor of any region at 84.2%. The region also posted the strongest international growth, with traffic up 10.9% for the year.

Europe recorded 5.3% growth in total demand, broadly matched by capacity expansion, while Middle Eastern carriers saw demand rise 6.8%, supported by strong long-haul connectivity.

Latin America and the Caribbean posted robust demand growth of 7.0%, although capacity expanded faster, leading to a modest decline in load factors. African airlines achieved 7.8% growth in passenger traffic, with load factors rising to a record 74.9% for the region, despite remaining the lowest globally.

North America lagged other regions, with total demand up just 0.4% for the year. Domestic travel in the United States contracted slightly, reflecting capacity growth outpacing demand and ongoing market maturity.

Domestic markets and load factors

Domestic passenger markets reached record levels for both passenger numbers and load factors in 2025, although growth slowed compared with 2024. Brazil stood out as the strongest domestic market, with demand up 11.1%, while India maintained the world’s highest domestic load factor at 85.2%, despite a slight decline from the previous year.

Japan recorded the sharpest improvement in domestic load factor, while the United States experienced the largest decline, reflecting weaker domestic demand relative to capacity.

Outlook

IATA said the 2025 results confirm the resilience of global air travel demand, even as airlines operate under tight capacity conditions. Walsh said every new aircraft entering service will be critical to easing pressure—bringing quieter, cleaner fleets, more seats and greater network flexibility for passengers.

Looking ahead, the industry is expecting more moderate growth in 2026, but IATA said sustained demand underscores the importance of resolving supply-chain constraints and accelerating decarbonisation efforts to support aviation’s long-term future.

 

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