Air Cargo Market to exceed US$ 210.92 Billion by 2031

Published on 06-Aug-2025
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Report : Air Cargo Market Report: Size, Share and Outlook by 2031

According to our latest study on "Global Air Cargo Market Size and Forecasts (2021 - 2031), Regional Share, Trends, and Growth Opportunity Analysis - by Type, Service and End User," the Global Air Cargo Market size was valued at US$ 141.03 billion in 2024 and is expected to reach US$ 210.92 billion by 2031; it is estimated to record a CAGR of 5.8% from 2025 to 2031.

The global air cargo market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and South America.

Air cargo is a transportation mode of delivering fast shipments through aircraft. It contributes to economic development by enhancing the capability of transporting valuable and superior quality products rapidly to consumers across the world. Several advancements have been observed in the air cargo industry. Innovative logistics and supply chain concepts established on low-fuel costs as well as labor costs emerged as key trends in on-time production and end-point manufacturing assembly destination. Moreover, a surge in demand for expeditious shipping and control, as well as transparency, has been noticed with the decreasing shelf-life of new products such as consumer electronics.

With the rapid development of connected technologies, including mobile devices, consumers' purchasing processes have changed. Consumers are increasingly inclining toward e-commerce, resulting in high cross-border sales. In addition, the provision of air cargo, including faster deliveries and high investments by the government in favour of air cargo, also fuels the global market growth. However, over-capacity, complexities of temperature-sensitive products, and other market restraints are the key challenges faced by the air cargo industry.

Intelligent cold chain solutions are anticipated to provide the airlines with the ability to manage sensitive cargo throughout the supply chain. New developments in climate control, as well as heating and cooling, will enable modern cool chain services to protect their clients' cargo. A good end-to-end intelligent cool chain solution will provide the IT tools required to make sure that temperature-sensitive cargo is handled appropriately and arrives at its destination on time. It should also mark a product as temperature-controlled and allow staff to configure specific requirements that the shipment may be subject to. In addition, next-generation platforms can also indicate what sustainable thermal packaging may be available for the product or commodity being shipped. It should also auto-stamp any temperature-sensitive cargo with the appropriate special handling code (SHC) to make sure that ground and ramp handling personnel are aware of the shipment's handling requirements. Based on an item's SHC and special handling instructions, ground personnel can quickly identify sensitive cargo for special treatment. Several companies, such as Accelya and Envirotainer, are engaged in developing cool chain solutions that will provide growth opportunities for air cargo market in the near future.

Key Findings of Global Air Cargo Market Study:

The air cargo market is segmented on the basis of type, service, and end user. Based on type, the market is bifurcated into air mail and air freight. Based on service, the market is segmented into express and regular. Based on application, the market is bifurcated into retail, pharmaceutical or healthcare, food or beverage, consumer electronics, automotive, and others.

In terms of type, the global air cargo market is segmented into air mail and air fright. The air fright segment held the largest global air cargo market share in 2024.

Air freight is the transportation of goods via an air carrier, which can be commercial or charter. With the increasing demand for quick delivery, preferences for express shipping are growing. The small and mid-sized companies have highly benefited from air freight as it allows them to participate in international trade expeditiously and effectively. Third-party logistics providers offer the most reliable and cost-effective means for air freight services for corporate, individual parcel, or shipment deliveries.

The air freight segment remains the backbone of the global air cargo market in 2024, accounting for the vast majority of cargo tonnage and value, with Asia Pacific, North America, and Europe serving as the principal trade corridors. This segment is distinguished by its ability to move high-value, time-sensitive, and perishable goods quickly and securely across continents, making it indispensable for industries such as electronics, automotive, pharmaceuticals, and high-end retail. Freight volumes in 2024 reached unprecedented levels, propelled by persistent supply chain disruptions in ocean shipping, the ongoing e-commerce boom, and the growing need for rapid replenishment of inventories in response to shifting consumer demand. Major air cargo carriers expanded their dedicated freighter fleets and converted passenger aircraft to cargo configurations to meet surging demand, while investing in digital platforms that enable real-time tracking, automated booking, and AI-driven route optimization. The proliferation of direct partnerships between manufacturers, retailers, and logistics providers has streamlined the flow of goods, reducing transit times and minimizing the risk of lost or delayed shipments. In addition, the segment has witnessed significant advancements in security protocols and cargo screening technologies, ensuring compliance with increasingly stringent international regulations. The expansion of cold chain capabilities, particularly for pharmaceutical and perishable food shipments, has further solidified air freight's role as the preferred mode for sensitive cargo. Environmental concerns have prompted carriers to adopt more fuel-efficient aircraft, invest in sustainable aviation fuels, and implement carbon offset programs, aligning with global efforts to reduce the sector's carbon footprint. The integration of blockchain technology for documentation and customs clearance has also improved transparency and reduced administrative bottlenecks.

Based on services, the global air cargo market is segmented into below regular and express services. The express air cargo has emerged as the fastest-growing and most dynamic segment in the global air cargo market in 2024, underpinned by the relentless rise of e-commerce, escalating consumer expectations for same-day and next-day delivery, and the increasing prevalence of just-in-time supply chain models across industries. Leading integrators such as FedEx, UPS, DHL, and Amazon have expanded their dedicated express air networks, established new hubs and investing in state-of-the-art automation to handle record volumes of parcels and urgent shipments. The segment's growth is particularly pronounced in North America, Europe, and rapidly developing markets in Asia, where urbanization and digital adoption have accelerated the shift toward online shopping and direct-to-consumer delivery models. Express air cargo is the lifeblood of sectors that require rapid replenishment and high reliability, including healthcare (for urgent medical supplies and pharmaceuticals), automotive (for critical components and parts), and high-end electronics (for product launches and replacements). In 2024, the integration of advanced technologies such as IoT-enabled tracking, AI-powered route optimization, and predictive analytics has enabled express carriers to offer unparalleled visibility and precision, reducing delivery times and enhancing customer satisfaction. The proliferation of dedicated express cargo terminals at major international airports has streamlined handling and reduced turnaround times, while partnerships with e-commerce platforms have facilitated seamless order fulfillment and real-time updates for end customers. Environmental sustainability is an increasing focus, with express operators investing in electric ground vehicles, sustainable aviation fuels, and carbon-neutral delivery options to meet regulatory requirements and consumer preferences. The segment has also benefited from regulatory harmonization and customs modernization, which have simplified cross-border processes and reduced friction for international express shipments.

FedEx Express, UPS Airlines, DHL Aviation, Emirates, Cathay Pacific Airways, Korean Air Cargo, Lufthansa, Singapore Airlines Cargo, China Airlines, British Airways, Cargolux, ANA CARGO, and Zela Aviation are among the key players profiled in the global air cargo market report. Several other major players were studied and analyzed during the global air cargo market analysis to get a holistic view of the market and its ecosystem. The global air cargo market also provides detailed market insights, which help the key players strategize their growth. The report includes growth prospects owing to the current global air cargo market trends and their foreseeable impact during the forecast period.

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