{"id":119652,"date":"2019-12-11T00:00:00","date_gmt":"2019-12-10T22:00:00","guid":{"rendered":"https:\/\/rhn.ro\/iata-revised-downward-global-airline-profits-for-2019\/"},"modified":"2026-03-27T13:45:30","modified_gmt":"2026-03-27T11:45:30","slug":"iata-revised-downward-global-airline-profits-for-2019","status":"publish","type":"post","link":"https:\/\/rhn.ro\/en\/iata-revised-downward-global-airline-profits-for-2019\/","title":{"rendered":"IATA Revised Downward Global Airline Profits for 2019"},"content":{"rendered":"<div>Airline profits could see a sharper decline this year than previously estimated, as trade tensions affect global trade and business confidence, warned the International Air Transport Association (IATA), which expects a modest recovery next year.<\/div>\n<div><\/div>\n<div>According to IATA forecasts, profits recorded by airlines worldwide in 2019 are expected to reach $25.9 billion, a 5.1% decline compared to 2018. The improvement in earnings in 2020 is conditional on a &ldquo;suspension of hostilities&rdquo; in global trade disputes, IATA estimates.<\/div>\n<div><\/div>\n<div>In June, IATA estimated a profit of $28 billion for this year.<\/div>\n<div><\/div>\n<div>Additionally, IATA revised downward its revenue estimates for this year to $838 billion, from $899 billion, and announced it expects an improvement next year, when revenues are projected to reach $872 billion.<\/div>\n<div><\/div>\n<div>Air cargo demand is expected to decrease by 3.3% this year, the most significant decline since the 2009 financial crisis. Air cargo is considered a barometer of the global economy, as it transports goods worth $6,000 billion and is responsible for 35% of world trade in terms of value.<\/div>\n<div><\/div>\n<div>Global trade growth will stand at 0.9% this year, compared to a 2.5% increase estimated in June, IATA warned.<\/div>\n<div><\/div>\n<div>Next year, the institution expects a 3.3% growth in world trade, as pressures in the US election year will contribute to reducing trade tensions.<\/div>\n<div><\/div>\n<p>Source: <a href=\"http:\/\/www.economica.net\" data-wplink-url-error=\"true\">Economica<\/a><\/p>\n<h3>Frequently Asked Questions<\/h3>\n<p><strong>Why did IATA lower its profit forecast for 2019?<\/strong><\/p>\n<p>IATA lowered its forecast due to global trade tensions and declining business confidence, which have negatively impacted both passenger and cargo demand.<\/p>\n<p><strong>What is the expected profit for the airline industry in 2019?<\/strong><\/p>\n<p>Airlines are expected to record a total profit of $25.9 billion in 2019, representing a 5.1% decrease compared to the previous year.<\/p>\n<p><strong>How is the air cargo sector performing?<\/strong><\/p>\n<p>Air cargo demand is projected to drop by 3.3% in 2019, marking its worst performance since the 2009 financial crisis, reflecting broader economic slowdowns.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Airline profits could see a sharper decline this year than previously estimated, as trade tensions affect global trade and business confidence, warned the International Air Transport Association (IATA), which expects a modest recovery next year. According to IATA forecasts, profits recorded by airlines worldwide in 2019 are expected to reach $25.9 billion, a 5.1% decline&hellip;<\/p>\n","protected":false},"author":0,"featured_media":67895,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2856],"tags":[],"thb-sponsors":[],"class_list":["post-119652","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-conectivity"],"article_style_override":"","post-style":"","post_via":"","post-top-image":"https:\/\/rhn.ro\/wp-content\/uploads\/2019\/11\/transport-2.jpg","_links":{"self":[{"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/posts\/119652","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/comments?post=119652"}],"version-history":[{"count":0,"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/posts\/119652\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/media\/67895"}],"wp:attachment":[{"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/media?parent=119652"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/categories?post=119652"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/tags?post=119652"},{"taxonomy":"thb-sponsors","embeddable":true,"href":"https:\/\/rhn.ro\/en\/wp-json\/wp\/v2\/thb-sponsors?post=119652"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}