Air traffic in Latin America and the Caribbean grew 4.4% in July

The region reached 42.8 million passengers, which represents a year-on-year increase of 4.4%, that is, 1.8 million more travelers than in the same month of the previous year

(Source: Pexels)

This growth rate surpassed that recorded in June, adding one percentage point, driven by LAC-based airlines, which, for the second consecutive month, led global expansion (+7.2%)[i]. Intraregional traffic accounted for more than 60% of July's net increase, while passenger flows between LAC and the US recorded their best performance of the year (+3.6% year-on-year).

Argentina, Panama, Peru and Brazil led the percentage growth in the largest volume markets

Argentina was the market with the highest year-over-year percentage growth in July (+11%), thanks to an 8.3% expansion in the domestic segment and a 14% expansion in the international segment. Total passenger numbers reached a new all-time high for July, 6% higher than July 2019. Between January and July, the country already added 19 million passengers, 14.7% more than in 2024.

Panama registered a 9% year-over-year increase in total passenger traffic in July, driven by intraregional (+10%) and North American (+5%) increases. Routes to and from Central America and the Caribbean saw the greatest growth in July, with Panama–San José (+21%), Panama–Punta Cana (+27%), Panama–El Salvador (+22%), and Panama–Guatemala (+15%) routes showing the most growth.

Peru saw a significant increase of 8.6% year-on-year, with the domestic market growing at double digits (+10%) and the international market at 6%. July marked a historic record in domestic traffic (1.5 million passengers), something that has been repeated every month of 2025. In the international segment, the number of flights operated increased by 7% compared to July 2024, with strong momentum in the Peru-Colombia market, which grew 25% year-on-year in frequencies[ii] and +17% year-on-year in Colombian tourists visiting Peru[iii].

Brazil recorded its fifth consecutive record-breaking month in domestic traffic. In July, 9 million passengers flew domestically, a 4.9% increase compared to July 2024. Although the total number of domestic flights operated in July decreased by 2% year-over-year, the average seat capacity per flight increased by 3%, from 153 to 161 seats offered per flight[iv]. In the international segment, Brazil grew 13.6% year-over-year, driven by a 43% increase in international tourist arrivals by air[v]. Overall, passenger traffic in Brazil grew 7.5% compared to July 2024.

“The fact that Latin American airlines registered year-over-year growth of 7.2% in July—the highest in the world for the second consecutive month—reflects not only the strength of our industry, but also travelers' confidence in the region's connectivity. More than 60% of the year-over-year net passenger growth in July came from intraregional routes, demonstrating an increasingly dynamic market,” said Peter Cerdá, CEO of ALTA.

Mexico and Colombia showed a slight increase in domestic traffic.

In Mexico, 11 million passengers flew in July (+1.8% year-on-year), recovering after the decline in June (–0.4% year-on-year). The domestic segment grew 1.3% year-on-year and the international segment grew 2.4%. Traffic with the US, which is the third-largest country pair in the region after domestic Brazil and Mexico, increased 1.3% year-on-year in July, after declining in June (–2.1%), although the cumulative January-July figure remained virtually stable (–0.1%, down 24,000 passengers).

In Colombia, after five months of decline, domestic traffic grew 0.6% year-on-year in July, although it fell 1.7% in January-July, affected by traffic originating in Bogotá (cumulatively down 4.6%), which accounts for more than 30% of the total. In contrast, the international passenger market grew 6.7% year-on-year, driven by increases with neighboring countries: Ecuador (+12%), Brazil (+27%), Peru (+21%), and Venezuela (+11%).

Chile and Ecuador: more moderate growth

Chile had its worst month so far in 2025, with a marginal increase in total passengers transported of just 0.8% compared to July 2024. Domestic traffic contracted 2.4% year-over-year, while international traffic grew 4.6%. In Ecuador, total traffic grew 4.1% year-over-year in July, driven by an increase in the international segment, which grew 5.6%. Air arrivals of international tourists residing in the United States to Ecuador increased 11%[vi] year-over-year, helping to drive the increase in international traffic.

Caribbean and Central America

Traffic to and from the Caribbean grew 6.2% year-over-year in July, driven by the Dominican Republic, the largest market in the subregion, which grew 5.5%. Traffic between the Dominican Republic and the U.S. recovered slightly, rising 5.2% year-over-year after a decline in June (–1.1%). Jamaica, the second-largest market in the Caribbean, recorded its best month of the year in July, growing 13.1% year-over-year with 703,000 total passengers. Guyana, a small but dynamic market in recent years, grew 12% year-over-year in July and is expected to see 18% more international arrivals by 2025[vii].

Costa Rica registered a 7% year-over-year expansion in July, driven by international tourist arrivals by air from South America (+17.7%) and Europe (+3.9%). Arrivals from the US rebounded marginally (+0.3%), although they fell 2.3% in the January-July period.[viii] In El Salvador, traffic grew 2.4% year-over-year in July after five consecutive months of decline. So far in 2025, El Salvador has handled a total of 3 million passengers. In Guatemala, total traffic increased 3.9% year-over-year in July, with a total of 453,000 passengers.

Summary of indicators

Capacity, measured in available seat kilometers (ASKs), grew 5.4% year-over-year.
Demand, in passenger kilometers (RPKs), increased 4.6% year-over-year.
The average load factor was 85.8%.
In the January-July period, air traffic in LAC reached 279.9 million passengers, representing a 3.7% increase compared to the same period in 2024.

The global context of tourism

According to the latest UN Tourism report, international tourism grew by 5% in the first half of 2025, reaching nearly 690 million international arrivals worldwide. This represents 33 million more travelers than in the same period in 2024 and a level that is already 4% above pre-pandemic levels.

The organization highlighted that the recovery is broad and sustained:

Africa led the growth with a 12% increase in arrivals.

Europe grew by 4%, with Central and Eastern Europe being the most dynamic regions (+9%).

The Americas grew by 3%, driven especially by South America (+14%), while the Caribbean and North America remained stable.

UN Tourism Secretary-General Zurab Pololikashvili highlighted:

“Despite global challenges, international tourism continues to show strong momentum and resilience. The first half of 2025 brought an increase in arrivals and receipts for most destinations, generating a positive impact on local economies, employment, and livelihoods.”

Conclusion

The strength of air traffic in Latin America and the Caribbean in July—with 4.4% growth and several markets reaching historic records—is part of a favorable global trend, where international tourism maintains a sustained recovery. With nearly 690 million arrivals in the first half of the year, the sector confirms that both the region and the world are moving toward a period of greater stability and expansion in travel.

Source: ALTA / UN Tourism.


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