Airlines in Asia Pacific grew by 12 percent in the first half of the year amid rising travel demand in the region on the backdrop of uncertainties in the global airline industry driven by the tariff policy of the United States (US).

Based on data from the Association of Asia Pacific Airlines (AAPA), the region’s airlines carried 190.53 million passengers from January to June, up from last year’s 170.41 million.

Carriers recorded a 13 percent growth in revenue passenger kilometer (RPK) during the same period. RPK is a key demand indicator that measures the number of kilometers traveled by paying passengers.

Available load capacity stood at 82 percent compared to last year’s 81.2 percent, meaning the number of seats booked against total capacity grew this year.

Based on the six-month data, international air cargo demand, as measured in freight tonne kilometres (FTK), grew by six percent by June, with offered freight capacity increasing by seven percent.

AAPA said the increase in cargo is driven by regional rebound in global manufacturing activity, particularly in the consumer and intermediate goods segments.

Growing demand was likewise supported by the strong demand from e-commerce and time-sensitive segments.

AAPA Director General Subhas Menon said the growth in the first half underscores the strength of the region’s economies, which supported the sustained growth in travel demand.

Menon underscored that the expansion was seen despite uncertainties in the global trade environment.

To recall, the US imposed sweeping tariffs against the majority of its trading partners, including those in the Asia Pacific, including the Philippines, which is set to face a tariff rate of 19 percent in August.

Menon said these tariffs signal widespread inflation in rhetorical near future, which erodes business confidence over the global economic outlook.

This negative outlook, he said, has implications for the cargo and air travel industries.

While the tariffs have yet to be implemented, Menon said the outlook remains positive so far, given the rise in ticket bookings during the mid-year holiday season.

He added that Asia-Pacific carriers will remain alert to cost pressures, while adapting to market conditions and growth opportunities, both regionally and globally.