China's national flag carrier, Air China, has reported mixed traffic results for May 2026. According to the airline's latest figures, passenger numbers increased by 2.5% year-on-year, surpassing pre-pandemic levels. However, cargo volumes declined by 10% during the same period, indicating a slower recovery in the air cargo sector.
The mixed results come as the global aviation industry continues to navigate its post-pandemic recovery. While passenger demand has largely returned to pre-pandemic levels, cargo volumes have been slower to recover due to ongoing supply chain disruptions and economic uncertainty.
Analysts attribute the decline in cargo volumes to a combination of factors, including the ongoing impact of the pandemic on global trade and the increasing use of alternative modes of transportation, such as container shipping and road haulage.
Air China's results are a mixed bag for investors, with the airline's shares trading at 7.45 GBP per share, down 2.1% on the day. The airline's passenger growth is a positive sign, but the decline in cargo volumes is a concern.
According to a statement from the airline, Air China will continue to focus on expanding its passenger and cargo networks, as well as investing in digital transformation and sustainability initiatives.