According to the recent news report, a considerable decline is seen in cargo traffic. Almost all the cargo services belonging to different regions are facing traffic declines from last few years. Even the largest airlines are facing traffic declines in their cargo services. Recently, the three largest airlines belonging to Europe faced similar traffic declines in their cargo services. Last month three largest airlines of Europe have recorded sharp decline in cargo traffic extending the worst condition of international air trade that started in mid-summer this year. The three famous and largest airlines which recorded continuous declines year over year are British airways, Deutsche Lufthansa AG and Air France-KLM. Due to continuous declines faced by airlines every year, an impact fallen on traffic of passenger and cargo services. Thus, the reduction in passenger and cargo traffic forced the airlines to think about the expansion of cargo traffic. Therefore, in order to increase the cargo traffic, the airlines decided to expand the freight capacity, reported from monthly reports of carrier cargo services. Moreover, they are trying to increase passenger traffic by introducing additional capacity in planes.
The Deutsche Lufthansa airline has a division of cargo service named as Lufthansa Cargo service. It is the largest air freight carrier service in Europe. Even though it is the largest carrier service in Europe, it faced a decline of 5.5 percent in cargo services compared to previous year. Moreover, the traffic of Lufthansa Cargo service further declined by 4 percent in the month of August compared to previous month July. The decline in cargo traffic is a bad signal aiding towards the downfall of the cargo service and as well as aiding towards the downfall of world trade business. In order to balance the traffic and profits of the carrier cargo service, the German carrier also decided to expand the cargo capacity which includes both space expansion of freighters and passenger planes. It is recorded that the German carrier service has increased 2.6 percent cargo capacity in the month of August, compared to the records of the same month last year. Similar to the Lufthansa airlines, British airways also faced a great decline in cargo traffic this month. It is known from a recent survey that the British airline has reported 7.8 percent more decline in cargo traffic compared to previous year records, recorded in the same month. At the same instant, Air France-KLM airline has recorded further decline in cargo traffic by 8.9 percent in the month of August.
The declines in cargo traffic are followed by the declines of freight traffic. It is reported that in the month of July, the traffic towards freight carrier services is further declined by 0.6 percent. This decline reported in freight traffic was announced by the International Air Transport Association (IATA). It is also said by IATA that the main reasons behind the freight carrier traffic declines were due to the slowdown of global trade and downfall of China’s economy. These two reasons have shown a great impact on the traffic of freight and cargo services.