- Air cargo moves goods worth over $8 trillion annually, enabling industries like fashion, food, and pharmaceuticals to thrive through speed, reliability, and global connectivity.
- TIACA Director General Glyn Hughes highlights airfreight’s critical role in trade efficiency, economic development, and market diversification — especially amid disruptions and shifting global policies.
- Future growth will be driven by e-commerce, trade agreements, and emerging markets, reinforcing air cargo’s position as a key enabler of prosperity and supply chain resilience.
Air cargo remains a cornerstone of global trade, moving goods worth more than US$8 trillion each year despite accounting for only one percent of overall trade volume. Its speed and reliability underpin industries ranging from fashion to food, while enabling economies to participate in global supply chains.
Speaking at the Frankfurt Air Cargo Community Conference, Glyn Hughes, Director General of the International Air Cargo Association (TIACA), said. “The value that air cargo brings to trade is enormous. Trade has really enabled global prosperity over the last several decades, and it’s something we constantly need to remind ourselves of.”
Global economic growth has proven resilient in the face of disruptions, from the Covid-19 pandemic to geopolitical tensions. While 2020 saw widespread contraction, the recovery was rapid, and the International Monetary Fund’s outlook for 2025 is “the most positive it has been over the last 20 years,” Hughes explained.
Real time benefit
Airfreight is not just about moving goods; it enhances value by reducing transit times for perishable and high-value products. Hughes illustrated this with an example from Canada. A pork producer transporting chilled pork belly to South Korea via truck and maritime routes increased revenue by 50 percent by switching to airfreight, turning a US$800 million business into a US$1.2 billion operation.
“I have never seen someone so happy to pay a million dollars for a chartered aircraft,” Hughes expressed, underscoring the financial efficiency air cargo can deliver.
The sector also supports industries such as fashion, where consumer expectations for rapid turnover have reshaped retail. “Air cargo supports the evolutionary trend of consumerism,” Hughes said. Ultra-fast fashion, pioneered by companies like Inditex, relies on airfreight to refresh inventory across thousands of stores worldwide multiple times a year.
Fresh produce and flowers from Latin America and Africa provide another example. “Airfreighting these products isn’t just about speed,” Hughes said. “It’s about creating global prosperity, supporting developing markets, and enabling people to send their children to school.”
Navigating a Complex Environment
Trade is becoming increasingly complex, Hughes noted, particularly due to political measures and tariffs. “Since taking office, President Trump issued 103 executive orders, with more than a third impacting trade,” he said, highlighting the resulting rise in disputes at the World Trade Organization.
Global supply chains, which rely on the smooth flow of sub-assemblies and components, are particularly sensitive to disruptions. Hughes warned that trade conflicts risk undermining efficient manufacturing networks built over decades. At the same time, new strategies to diversify production and markets, such as China Plus One and USA Plus One, are emerging. India, for example, has created a task force to identify 40 new export markets for its garment industry. “As new markets emerge, the role of air cargo in moving products quickly becomes even more critical,” Hughes said.
Opportunities on the horizon
Looking forward, e-commerce growth, evolving consumer expectations, and new trade agreements are set to drive further demand for air cargo. The Regional Comprehensive Economic Partnership, which brings together 15 states including China, Japan, and South Korea, is now the world’s largest free trade zone. “This is a monumental opportunity for trade growth,” Hughes said.
Despite challenges, air cargo continues to demonstrate its capacity to enable global trade and economic development. From ultra-fast fashion cycles to perishable food markets and expanding free trade zones, Hughes argued that the industry plays an essential role in connecting producers and consumers worldwide. “We constantly need to remind ourselves of the great role that this industry has played,” he said. “It’s about adding value, creating opportunities, and connecting the world.”