IATA data shows international air cargo demand growing 8.6% year-on-year, while jet fuel prices climb 103.4%, putting pressure on airline profitability despite stronger global trade. Global air cargo demand increased by 7.7% year-on-year in September 2026, supported by stronger international trade and manufacturing activity, according to the latest figures released by the International Air Transport Association (IATA). International air cargo demand recorded even stronger growth of 8.6% compared with September 2025. However, the industry continued to face significant cost pressures, with jet fuel prices more than doubling over the year. Global cargo capacity, measured in available cargo tonne-kilometres (ACTK), expanded by 2.7% during September, while international capacity increased by 3.3%. Demand therefore continued to outpace available capacity, lifting the global cargo load factor by 2.2 percentage points to 47.9%. Fuel prices put pressure on airline profitability Marie Owens Thomsen, IATA's Senior Vice President Sustainability and Chief Economist, said air cargo demand had grown across all regions, supported by stronger global trade and manufacturing. She also highlighted the contribution of artificial intelligence-related shipments, which helped drive another month of double-digit growth across the Pacific. However, rising fuel prices remain a major challenge for the industry. Jet fuel prices increased by 17.5% month-on-month in September and were 103.4% higher than a year earlier. IATA noted that cargo yields have not kept pace with the increase in fuel prices. Its September market analysis showed cargo yields rising by 25.9% year-on-year, compared with the 103.4% increase in jet fuel prices. The disparity highlights the growing difficulty airlines face in maintaining profitability despite stronger cargo volumes. Global trade and manufacturing support demand Several economic indicators provided a supportive backdrop for air freight activity. Global trade increased by 3.6% year-on-year in August, marking the 42nd consecutive month of annual expansion. Manufacturing activity also improved. The Global Manufacturing Output Purchasing Managers' Index (PMI) increased by 0.7 points to 53.8, while the New Export Orders Index rose by 0.5 points to 51.9. Both indicators reached their highest levels in five years, signalling improved manufacturing conditions and continued support for international cargo demand. North America leads regional growth Air cargo demand increased across all six major airline regions in September, although the pace of expansion varied. North American carriers recorded the strongest growth, with demand increasing by 11.8% year-on-year, while capacity expanded by just 0.8%. Asia-Pacific airlines reported 8.6% demand growth and a 4.9% increase in capacity, reflecting continued strength in regional and trans-Pacific cargo movements. Latin American and Caribbean carriers recorded demand growth of 6.7%, alongside a 7.6% capacity expansion. African airlines saw demand rise by 4.7%, while capacity contracted by 1.2%. European carriers recorded a 4.5% increase in demand despite a 1.6% decline in capacity. Middle Eastern airlines reported the slowest regional demand growth, at 3.8%, while capacity increased by 7%. Asia–North America remains the strongest trade lane Performance across major international trade lanes remained mixed in September. The Asia–North America corridor recorded the strongest growth, with cargo traffic increasing by 17% year-on-year. This marked eight consecutive months of expansion on the route. Traffic within Asia grew by 10.2%, while Europe–North America increased by 9.3%. Europe–Asia recorded growth of 6%, extending its expansion streak to 43 consecutive months. Africa–Asia traffic increased by 2.6%. In contrast, Middle East-connected trade lanes remained under pressure. Cargo traffic between Europe and the Middle East declined by 18%, while the Middle East–Asia corridor contracted by 10.2%. Both routes recorded seven consecutive months of decline. Demand growth faces a cost challenge The September figures underline the resilience of the global air cargo market, with demand expanding faster than capacity and manufacturing indicators remaining supportive. However, higher fuel prices and the gap between operating costs and cargo yields are creating challenges for airlines seeking to convert stronger volumes into improved financial performance. For carriers, forwarders and cargo owners, the balance between demand, available capacity and fuel expenditure will remain central to market conditions in the coming months. The latest IATA data points to a growing air cargo market, but sustaining profitable growth will depend on how effectively the industry manages rising operating costs. Follow CARGOCONNECT for more such updates