Thursday, August 21, 2008

HKIA: Slowdown in Air Traffic

Passenger volume at Hong Kong International Airport (HKIA) grew 1.3%, to 4.5 million, in July 2008 while cargo throughput rose 0.7%, to 317,000 tonnes. Air traffic movements increased 2.1% from July 2007, to 25,895.

Whilst the overall market slowed down, there were a few bright spots. The small growth in passenger volume was attributable to the increase in transfer traffic related to North American and Australasian destinations while cargo transshipments also helped the growth in cargo throughput. Both cargo import and export recorded declines. July's performance was consistent with latest Airport Authority projections in light of economic uncertainties and the impact of high fuel price on travel and freight demand.

Stanley Hui Hon-chung, Chief Executive Officer of the Airport Authority, said, "Airports and airlines worldwide are feeling the effects of surging fuel prices and economic uncertainties, conditions we expect will likely continue. Airlines have started to reduce flight frequencies to contain losses. As a result, we anticipate a more difficult operating environment and slower growth for all categories of air traffic for the remainder of the year. HKIA will monitor closely changes in the market."

On a rolling twelve-month basis to 31 July 2008, HKIA's air traffic experienced solid growth. Passenger throughput increased 7.3%, to 49.5 million, cargo volume rose 6.5%, to 3.9 million tonnes and air traffic movements climbed 5% to 302,510.

Source: HKIA