Decline in premium air travel growth recordedPosted: April 17, 2014
Growth in global premium air travel dropped off in February against the level seen the previous month.The sector saw an increase of 4.1% year on year, down from January’s growth of 6.1%, according to latest Iata figures.
“Business activity indicators still indicate growth, but the rate in March was the slowest for the last four months,” the association said.
“Some major economies, like the US, experienced temporary Q1 slowdown due to severe weather conditions, but in China, business (manufacturing) activity has contracted since January, pointing to a more fundamental deceleration.”
The association described demand drivers as remaining broadly positive, but rates of improvement in business conditions have slowed;
Air travel within Asia increased only 1% in February, “significantly down” on January growth of 7.2%.
By contrast, the North Atlantic market managed to maintain recent improvements, rising 3.8% in February.
Iata said: “The outlook for premium travel markets is broadly positive, but recent developments could restrict further acceleration.
“The degree of weakness in some emerging markets will likely determine the pace of future expansion.”
Sourced by Travel Weekly