Air travel recovers fully, surpassing even demand before pandemic

Air travel demand continues to outpace economic growth in an increasingly connected world.
Four years after the pandemic grounded most of the global fleet, air traffic growth has returned to the long-term trend industry analysts have forecast.
With air travel fully recovered and even surpassing pre-pandemic demand, the airline industry is bullish about its economic prospects over the next few years.
“With a record five billion air travellers expected in 2024, the human need to fly has never been stronger”, according to International Air Transport Association (IATA), the global body of airlines.
Thanks to solid and persistent demand for air transportation, the airline industry can now turn the page on the Covid-pandemic. Air traffic has now caught up with 2019 levels, and profitability has returned to the industry, IATA noted recently.
While the trend will in all probability stay positive regarding both growth in activity and profitability, the pace of improvement is likely to slow, industry experts point out.
A key variable to watch is unemployment, which could challenge the trend were it to begin to rise. In the interim, gains will also be capped by capacity constraints pertaining to labour and aircraft.
Top planemakers – Airbus and Boeing see huge demand for new aircraft as many airlines modernise long-haul fleets and Asia’s surging economies, in particular, lock into air travel.
The world’s largest planemaker – Airbus predicted in an annual report on jet industry trends that the global fleet would more than double over the next two decades to 48,230 planes.
Europe-owned Airbus predicted industry-wide deliveries of 42,430 new airplanes over the next 20 years, including 41,490 passenger jets, with both figures up 4% since the previous survey.
US planemaker Boeing projected a 3% increase in airplane deliveries over the next 20 years, with carriers requiring nearly 44,000 new commercial airplanes by 2043.
Leading into the Farnborough International Airshow, Boeing released its 2024 Commercial Market Outlook (CMO), which also predicts emerging markets and global single-aisle market demand will remain primary growth drivers for the industry.
Air transport connects remote and landlocked regions to the global economy, fostering economic inclusion and development.
It plays a critical role in delivering humanitarian aid and disaster relief, providing rapid response capabilities in times of crisis.
The industry enables the transport of essential supplies, medical personnel, and equipment to affected areas quickly.
It enhances business efficiency by reducing travel time, enabling quick face-to-face meetings and faster decision-making processes.
As for job creation, the air transport industry directly creates millions of jobs worldwide, including pilots, flight attendants, ground staff, maintenance workers, and administrative personnel.
Indirectly, it generates employment in related sectors such as tourism, logistics, manufacturing, and retail.
Countries with well-developed air transport infrastructure attract more foreign direct investment (FDI) as businesses prefer locations with reliable and efficient transport links.
Airports often become hubs of economic activity, leading to the development of surrounding areas and increased investment.
Undoubtedly, the growth of the air transport industry is a key driver of global economic progress, supporting trade, tourism, employment, and technological advancement, while enhancing global connectivity and fostering international co-operation.