The International Air Transport Association (IATA) released its updated financial outlook for the global aviation industry at its 81st Annual General Meeting held in New Delhi, India. According to the report, the projected profit for airlines in 2024 has been revised down by $600 million, from $36.6 billion to $36 billion.
The primary reason cited for the decline is growing revenue losses due to trade wars—particularly those led by the United States.
Record Revenues, but Margins Remain Tight
The report highlights that total industry revenue in 2024 is expected to hit a record $979 billion. However, rising expenses—forecast to reach $913 billion—are putting pressure on profit margins. IATA Director General Willie Walsh noted that the average profit per passenger is just $7.20, leaving the sector vulnerable to sudden economic shocks and tax increases.
Trade Barriers and the Risk of Isolationism
Walsh urged governments to stay out of trade conflicts, stating:
“Air connectivity drives prosperity. Isolationism and protectionism reduce living standards. Governments must shield aviation from these dynamics.”
He added that trade wars not only affect passenger demand but also threaten international trade agreements related to aircraft and spare parts.
Cargo and Passenger Demand Adjusted
Key revisions in the report include:
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Total passenger numbers are expected to reach a new record of 4.99 billion in 2025.
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Air cargo volume has been revised downward to 69 million tonnes (previous forecast: 72.5 million tonnes).
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Lower fuel prices could help control costs and positively influence ticket pricing.
Ahmet Bolat Re-elected to IATA Board of Governors
Chairman of the Board and Executive Committee of Turkish Airlines (THY), Ahmet Bolat, has been re-elected to the IATA Board of Governors for a second term. Bolat will serve for another three years, playing an active role in shaping global aviation governance.
Commenting on his reappointment, Bolat said:
“This not only reflects the strength of our national flag carrier, but also underscores Turkey’s growing influence in the global aviation landscape. As Turkish Airlines, we will continue to support IATA’s strategic initiatives.”
