The International Air Transport Association released data for 2025 full-year and December passenger markets, indicating record demand. Total demand rose 5.3pc compared to 2024, with capacity up 5.2pc. The passenger load factor reached 83.6pc, a record high. International demand increased by 8.5pc, while domestic grew by 1.3pc.
December 2025 saw demand rise 5.6pc year-on-year, with capacity at 5.9pc and load factor at 83.7pc. Regional variations showed Asia-Pacific with the highest growth. However, ongoing capacity issues, including aircraft delivery delays and engine problems, persist.
The data highlights the industry’s recovery but notes challenges in meeting demand due to supply constraints. Governments are urged to address these to support growth.
This release emphasises the need for efficient operations and infrastructure to handle future demand. It reflects the sector’s resilience amid external pressures.
Willie Walsh shared “The airline industry delivered a strong performance in 2025. With record numbers of people traveling, demand exceeded 2019 levels by 3.5pc. Unfortunately, severe constraints in aircraft deliveries and infrastructure capabilities meant we couldn’t meet all the demand.”
“Looking ahead, we expect growth to continue in 2026, but governments must recognize that aviation is a key driver of economic growth and prosperity. Rather than imposing punitive taxes, they should focus on resolving supply chain issues, investing in efficient infrastructure, and incentivizing Sustainable Aviation Fuel (SAF) production.”
Record numbers
The International Air Transport Association revealed that full-year passenger demand rose 5.3pc in 2025 with international traffic up 7.1pc and domestic up 2.4pc.
Overall load factor reached a record 83.6pc while international load factor hit 83.5pc. Asia-Pacific airlines led international growth at 10.9pc with the highest regional load factor.
Domestic markets showed Brazil with 11.1pc growth while the United States declined 0.6pc. December demand increased 5.6pc with capacity up 5.9pc. Supply chain issues caused delays in aircraft deliveries leading to higher costs estimated over $11bn.
Willie Walsh shared: “2025 saw demand for air travel grow by 5.3pc with international demand growing by 7.1pc and domestic by 2.4pc. This returns industry growth to align with historical growth patterns after the robust post-COVID rebound.
The strong and continuous increase in demand puts into sharp focus two key challenges: decarbonisation and supply chain. The first, decarbonization, will protect future long-term growth. Governments whose economies grow because of aviation and whose citizens thirst for connectivity need to provide the supportive fiscal policy framework to rapidly accelerate progress, particularly for the energy sector to grow Sustainable Aviation Fuel production. The second, supply chain challenges, was the biggest headache for airlines in 2025.
