Freight markets were 3.1 percent below November 2010 levels despite a 1.1 percent increase on October 2011 performance.

“Weak global economic performance is being reflected in air transport markets. Freight markets have contracted some 4 percent compared to January,” says Tony Tyler, IATA’s director general and CEO. “Continuing economic uncertainty will likely mean market shortcomings deepening as we enter 2012.”

Air freight markets continued their decline in line with weak economic performance and falling business confidence. International markets declined by 3.8 percent. This was offset by 2.0 percent growth in domestic markets.

International freight load factors have declined 6 percentage points from their peak in mid-2010. While freighter capacity has been adjusted to meet demand, belly cargo capacity follows the trend in passenger demand.

Asia-Pacific carriers have seen the weakest demand performance driven by falling demand for Asian manufactured goods from U.S. and European consumers. The region’s carriers saw the market decline by 6.4 percent. European carriers reported a 4.6 percent fall in demand reflecting continued uncertainty associated with the Euro-zone crisis. North American carriers’ operations were largely unchanged from the previous year with only 0.2 percent growth.