Air travel soars despite global tensions

- A Monitor Desk Report Date: 07 August, 2025
Air travel soars despite global tensions

Dhaka: Global air travel is reaching new altitudes in 2025, showing remarkable resilience against ongoing geopolitical tensions, restricted airspace, and persistent supply chain disruptions.

According to the latest figures from the International Air Transport Association (IATA), global passenger demand in June 2025 rose by 2.6pc compared to the same month last year. Both international and domestic sectors contributed to the growth.

Despite thin profit margins and continuing logistical challenges, the appetite for air travel remains robust. Airlines are seeing steady passenger confidence, underscoring the industry's ability to weather global instability and operational setbacks.

According to IATA fresh data, the demand for travel remains robust, with international passenger demand growing by 3.2pc and domestic demand increasing 1.6pc in the first half of the year.

Airline passenger revenues, meanwhile, are estimated to reach $693 billion this year, a modest 1.6pc increase from 2024, despite airspace closures as the Israel-Iran war broke out.

Aircraft manufacturers, meanwhile, expect to deliver 1,692 planes in 2025 — the best output since 2018. 

However, this figure is still 26pc below previous forecasts, laying bare the pressure on the aerospace supply chain. 

Persistent issues, particularly with engine manufacturers, have left over 1,100 relatively new aircraft grounded worldwide, with scores awaiting resolution of engine problems.

A recent IATA-commissioned survey showed 97% satisfaction among recent flyers, highlighting air travel’s growing role in enhancing quality of life.

Additionally, 81pc of passengers believe the aviation sector is serious about its vow to reach net-zero carbon emissions by 2050.

One upside is the strong passenger confidence, which fuels demand for global air travel.

Amid trade tensions, the June 2025 air cargo demand actually rose by 0.8pc, while cargo capacity was also up by 1.7pc year-on-year.

Despite the notably supply chain setbacks and razor-thin margins, the industry is on track for a record-breaking year in revenue and steady, if vulnerable, profits, all while navigating a stormy global landscape and working to keep the world’s air bridges busy.

-B

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