Aviation back in recession with 2.2pc decline - IATA

Global air travel is sliding deeper into recession territory, according to IATA data for May 2026, with demand down year-on-year for both international and domestic markets. IATA reported that total market revenue passenger kilometers (RPK) fell 2.2%, while capacity measured by available seat kilometers (ASK) decreased 2.3%, leaving the load factor at 83.5%. International demand declined 1.6% and domestic RPK contracted 3.1%, with China down 6.2% domestically. In the Middle East, RPK dropped 28.4% and load factor slid to 75.9%, while Europe posted 2.7% total RPK growth and a 85.9% load factor. IATA linked weaker conditions to the impact of the Iran war, noting the decline rate was about half of April’s pace. Excluding the Middle East, global demand grew 0.7%. Willie Walsh said passenger demand was down 2.2% year-on-year in May on those war-related effects.