International Express
International express traffic, which expanded rapidly throughout the 1990s, has decelerated to about 4.4% growth per year since 2000.
The distinction between express and general air cargo continues to blur. Traditional providers are expanding their time-definite offerings, and express carriers, freight airlines, and postal authorities are consolidating. Ultimately, the air cargo customer benefits from increased service options and lower prices as market pressure brings competing products into the market.
Provider and service expansion spurred international express traffic to grow at nearly triple the rate of total worldwide air cargo traffic, averaging more than 22% annually from 1992 to 2000, as measured in revenue tonne-kilometers (RTKs). However, growth slowed considerably to about 6.8% between 2000 and 2008. This pattern parallels the express industry's strong double-digit US domestic growth during the 1970s and 1980s, followed by slower growth later. International express traffic fell 12.7% in 2009, however, as a result of the global economic downturn.
International express expanded from 4.1% of total international air cargo traffic in 1992 to 12.8% in 2008, reflecting higher-than-average annual growth. Because the decline in international express flows in 2009 was about the same magnitude as the drop in the overall world air cargo market, international express maintained its share at about 12.6% of total traffic. The average international express shipment size is estimated to have grown from 2.7 kg in 1992 to 5.3 kg in 2009, further bolstering the overall express component of international air freight traffic. As businesses continue to expand beyond domestic or nearby regional markets, the international express sector will continue to grow, albeit at more sustainable, long-term rates.