The United Nations Conference on Trade and Development (UNCTAD) projected global trade to reach a record $33 trillion in 2024, reflecting a $1 trillion increase compared to 2023.

This represents an annual growth of 3.3 per cent, showcasing the resilience of global trade despite ongoing challenges.

According to UNCTAD's latest Global Trade Update, the robust growth in trade services, which increased by 7 per cent this year, contributed significantly to this expansion, accounting for half of the overall growth.

In contrast, goods trade grew by a modest 2 per cent, remaining below its 2022 peak.

The report highlighted challenges for developing economies, traditionally key drivers of global trade. These economies faced a 1 per cent contraction in imports and a similar decrease in South-South trade during Q3 2024.

On the other hand, advanced economies led the quarter’s growth, with stable demand driving a 3 per cent rise in imports and a 2 per cent increase in exports.

Despite obstacles, the report emphasised opportunities for developing countries to capitalise on high-growth sectors. Trade in ICT goods and clothing surged by 13 and 14 per cent respectively in Q3 2024, underscoring the potential for diversification into value-added industries.

Sector-specific data revealed declines in traditional sectors critical to developing economies. Energy trade fell by 2 per cent in Q3 and 7 per cent over the year, while metals trade contracted by 3 per cent.

Automotive trade shrank by 3 per cent in Q3 but is expected to close the year with a 4 per cent annual growth rate.

Meanwhile, stable global growth forecasts and reduced inflation offer promising prospects for building resilience in 2025.

Meanwhile, Austria's economy contracted for the sixth consecutive quarter in Q3 2024, with real GDP shrinking by 0.6 per cent year-on-year and by 0.1 per cent compared to the previous quarter, according to the latest figures from Statistics Austria.

Tobias Thomas, Director-General of Statistics Austria, reported a significant 3.7 per cent decline in the industrial sector's income during the third quarter. He attributed this to the impact of the global economic downturn, alongside contractions in key sectors, including services (down 2.5 per cent), construction (down 1.7 per cent), and trade (down 1.5 per cent).

Economists suggest that Austria may emerge as one of the weakest-performing economies in the European Union, with GDP expected to shrink by 0.6 per cent in 2024, reflecting prolonged economic stagnation.

The International Air Transport Association (IATA) released data for October 2024 global passenger demand.

According to the data, total demand, measured in revenue passenger kilometres (RPK), was up 7.1 per cent compared to October 2023.

Total capacity, measured in available seat kilometres (ASK), was up 6.1 per cent year-on-year. The October load factor was 83.9 per cent (+0.8ppt compared to October 2023).

International demand rose 9.5 per cent compared to October 2023. Capacity was up 8.6 per cent year-on-year and the load factor rose to 83.5 per cent (+0.6ppt compared to October 2023).

Domestic demand rose 3.5 per cent compared to October 2023. Capacity was up 2.0 per cent year-on-year and the load factor was 84.5 per cent (+1.2ppt compared to October 2023).

Willie Walsh, IATA’s Director-General, said, "Continued strong and stable demand is good news, but just as important is the steady improvement in load factors. It shows what a great job the industry is doing in flying people more efficiently. Average seat factors have risen from around 67 per cent in the 1990’s to over 83 per cent today." All regions showed growth for international passenger markets in October 2024 compared to October 2023. Europe had the highest load factors, and Africa showed a sharp increase, but the Americas and the Middle East suffered falls.

Asia-Pacific airlines achieved a 17.5 per cent year-on-year increase in demand. Capacity increased 17.2 per cent year-on-year and the load factor was 82.9 per cent (+0.3ppt compared to October 2023).

European carriers had an 8.7 per cent year-on-year increase in demand. Capacity increased 7.3 per cent year-on-year, and the load factor was 85.7 per cent (+1.1ppt compared to October 2023).

Middle Eastern carriers saw a 2.2 per cent year-on-year increase in demand. Capacity increased 2.5 per cent year-on-year and the load factor was 80.2 per cent (-0.2ppt compared to October 2023).
North American carriers saw a 3.2 per cent year-on-year increase in demand. Capacity increased 2.9 per cent year-on-year, and the load factor was 84.2 per cent (+0.3ppt compared to October 2023).

Latin American airlines saw a 10.9 per cent year-on-year increase in demand. Capacity climbed 11.6 per cent year-on-year. The load factor was 85.3 per cent (-0.6ppt compared to October 2023).

African airlines saw a 10.4 per cent year-on-year increase in demand. Capacity was up 5.3 per cent year-on-year. The load factor rose to 73.2 per cent (+3.4ppt compared to October 2023).

The International Air Transport Association (IATA) has opened an expanded office in Abu Dhabi featuring a new training centre.

This demonstrates IATA’s commitment to supporting the Middle East’s growing aviation sector and fostering the next generation of industry professionals.

Saif Mohammed Al Suwaidi, Director-General of the UAE General Civil Aviation Authority, officially opened the facility, joined by the first cohort of trainees and IATA representatives.

"The expansion of IATA’s presence in the UAE with a new training centre reinforces the country’s position as a global aviation hub. Having a key international organisation like IATA expand its footprint here also demonstrates the attractiveness of Abu Dhabi and its value proposition as a preferred destination for global organisations,” Al Suwaidi said.

Taking advantage of the UAE’s strategic location and excellent connectivity, IATA’s Abu Dhabi office will provide services to airlines, trainees, strategic partners and governments in the Middle East and beyond.

Kamil Alawadhi, IATA’s Regional Vice-President for Africa and the Middle East, stated., "We are proud to expand our presence in the UAE, with our office in Abu Dhabi. Over the past 18 months, our team in Abu Dhabi has grown by 140 per cent.

By expanding our physical presence in this global aviation hub, we will be able to support our airline members, trainees from across the aviation value chain and the industry’s many stakeholders more efficiently. Our aim is to facilitate the further successful growth of the region’s aviation sector, which is a strategic contributor to the region’s social and economic development."

Agencies