Global passenger demand for air travel reached record highs in 2025, as the aviation industry returned to more typical growth patterns following the post-pandemic rebound, according to new full-year and December data released by the International Air Transport Association (IATA).
Total passenger demand for the year, measured in revenue passenger kilometres (RPKs), rose 5.3% compared with 2024, broadly matched by a 5.2% increase in capacity. The global passenger load factor climbed to a record 83.6%, reflecting airlines’ continued ability to fill seats despite persistent operational constraints.
IATA Director General Willie Walsh said 2025 marked a return to historical growth rates after the exceptional post-COVID recovery, but also exposed two major challenges facing the industry: decarbonisation and supply-chain disruption.
He said long-term growth depends on accelerating progress on decarbonisation, particularly through government policies that enable rapid scaling of Sustainable Aviation Fuel (SAF) production. At the same time, supply-chain constraints — ranging from delayed aircraft and engine deliveries to limited maintenance capacity — created an estimated $11 billion in additional costs for airlines in 2025.
Walsh said airlines responded by keeping aircraft in service longer and maximising seat occupancy, pushing load factors close to 84%. While these measures helped meet demand, he stressed they are not a permanent solution and said 2026 must mark a turning point for the global aerospace supply chain.
North America lagged other regions, with total demand up just 0.4% for the year. Domestic travel in the United States contracted slightly, reflecting capacity growth outpacing demand and ongoing market maturity.
Domestic passenger markets reached record levels for both passenger numbers and load factors in 2025, although growth slowed compared with 2024. Brazil stood out as the strongest domestic market, with demand up 11.1%, while India maintained the world’s highest domestic load factor at 85.2%, despite a slight decline from the previous year.
Japan recorded the sharpest improvement in domestic load factor, while the United States experienced the largest decline, reflecting weaker domestic demand relative to capacity.
IATA said the 2025 results confirm the resilience of global air travel demand, even as airlines operate under tight capacity conditions. Walsh said every new aircraft entering service will be critical to easing pressure — bringing quieter, cleaner fleets, more seats and greater network flexibility for passengers.
Looking ahead, the industry is expecting more moderate growth in 2026, but IATA said sustained demand underscores the importance of resolving supply-chain constraints and accelerating decarbonisation efforts to support aviation’s long-term future.
