
by Natasha Lair
Last updated: 10:15 AM ET, Wed September 3, 2025
The International Air Transport Association (IATA) reported a 4% year-over-year increase in global passenger demand for July 2025.
Capacity grew slightly faster at 4.4%, pushing the global load factor down 0.4 percentage points to 85.5%.
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“It’s been a good northern summer season for airlines. Momentum has grown over the peak season with July demand reaching 4% growth. That trend appears across all regions and is particularly evident for international travel, which strengthened from 3.9% growth in June to 5.3% in July,” said Willie Walsh, IATA’s Director General.
“Moreover, with flight volumes showing a 2% year-on-year increase for September after five months of decelerating growth, airlines are positioned to take advantage of this market momentum into the coming months.”
International vs. Domestic
International passenger demand rose 5.3% compared to July 2024, with capacity up 5.8%.
The international load factor was 85.6%, down 0.4 percentage points.
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Domestic markets showed more modest growth, with demand up 1.8% and capacity increasing 2.3%. The load factor slipped 0.4 points to 85.2%.
Brazil led domestic growth with a 9.4% increase in RPK, while India saw a 1.3% decline. Japan recorded its highest July load factor since at least 2000 at 81.4%.
Regional Performance – International Markets
- Asia-Pacific: Demand rose 8.7% year-on-year, with capacity up 9%. Load factor stood at 83.8% (-0.2 ppt).
- Europe: Traffic increased 4.0% while capacity grew 4.2%. Load factor reached 87.3% (-0.2 ppt).
- North America: Demand rose 2.4%, with capacity up 3.6%. Load factor was the highest among all regions at 88.4% (-1.0 ppt). Traffic between North and South America fell 0.8%.
- Middle East: Traffic grew 5.3% as capacity expanded 5.6%. Load factor was 84.1% (-0.2 ppt), with growth rebounding after June’s conflict-related disruptions.
- Latin America: Carriers posted the strongest gains, with demand up 9.3% and capacity climbing 11.3%. Load factor slipped 1.6 points to 85.8%.
- Africa: Demand increased 2.8%, capacity rose 2.3%, and load factor improved by 0.4 points to 74.9%. Routes between Africa and Asia were notably strong.
Domestic Market Highlights
- Brazil: +9.4% demand; load factor 85.8% (+1.5 ppt).
- Australia: +4.3% demand; load factor 85.1% (+1.0 ppt).
- China: +3.8% demand; load factor 82.1% (-0.8 ppt).
- Japan: +2.9% demand; record-high July load factor at 81.4% (+3.3 ppt).
- United States: +1.5% demand; load factor 87.0% (-0.8 ppt).
- India: -1.3% demand; load factor 83.0% (-2.1 ppt).
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