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Brexit and trade tensions overhanging global airline sector

“Healthy but moderating” global airline passenger results have been released by Iata for November amid a slowing global economy and Brexit uncertainty.

Demand of 6.2% fell from 6.3% in October while capacity grew by 6.8% year-on-year.

The load factor dipped 0.4 percentage point to 80% – only the third time in two years that lt fell on a year-to-year basis.

Iata director general and CEO Alexandre de Juniac said: “Traffic is solid. But there are clear signs that growth is moderating in line with the slowing global economy.

“We still expect 6% demand growth this year. But trade tensions, protective tariffs and Brexit are all uncertainties that overhang the industry.”

European carriers saw demand increase by 9%, reprsenting a nine-month high.

But Iata warned: “Given the mixed signs on the economic backdrop in the region it is unclear whether this pace of growth can be sustained.”

Capacity climbed 9.1% and load factor slipped 0.1 percentage point to 82.1% – still the highest globally.

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