Global air passenger demand fell 1.7% year-on-year in June 2026, marking a slowdown driven largely by weaker domestic travel in China, the United States and Japan, as well as the continued impact of geopolitical tensions in the Middle East, according to the International Air Transport Association (IATA).
Total capacity declined by 1.3%, while the global load factor slipped 0.4 percentage points to 84.2%. International traffic was down 0.9%, although it still grew 1.1% when Middle Eastern carriers are excluded. Domestic demand recorded a sharper 3.0% decline.
IATA Director General Willie Walsh said the downturn reflects the ongoing effects of conflict in the Middle East, which continues to disrupt airline operations and contribute to higher fuel prices and airfares. Despite these challenges, he noted that demand for travel remains resilient and continues to support the global economy.
Among international markets, Europe recorded 1.5% growth, supported by particularly strong demand on Europe–Asia routes, where traffic surged 11%, the fastest-growing major international corridor. Africa and Latin America also posted growth of 6.7% and 3.5%, respectively.
The Middle East remained the weakest-performing region, with international demand falling 14% year-on-year as airlines continued recovering from disruptions linked to the Iran conflict. However, IATA noted that the pace of decline has slowed since April as operations gradually normalise.
In domestic markets, China recorded the largest decline (-5.2%), followed by Japan (-3.8%) and the United States (-1.2%), while Brazil (+0.9%) was the only major market to post growth and Australia remained flat.
Despite the weaker June figures, Europe continued to report the industry’s highest regional load factor at 87.1%, highlighting the resilience of international travel demand outside the most heavily affected markets.