Air traffic grows in Latin America and the Caribbean

Growth continued at a slower pace than in previous months: 5.3% in April, 4% in March, and 5% in February.

The markets of Brazil and Argentina drove growth

Brazil recorded its best-ever May for domestic traffic, with 8.2 million passengers, up 6.3% from May 2015 and 14% from May 2024.

A sustained trend: March, April, and May 2025 were the highest months in history for domestic traffic in Brazil.

This dynamic is partly due to lower prices: air transport was the service category with the greatest deflation in the country[1] (–11.3% vs. May 24). Meanwhile, private consumption of air transport services grew 16.9% in the January-April period[2].

In the international segment, Brazil grew 13.2% with an additional 250,000 passengers, achieving a record five consecutive months of growth. International tourist arrivals by air grew 38% with 1.5 million visitors from South America year-to-date (+64%). Tourist arrivals from Argentina grew 93% in the same period.

“The growth of the Brazilian market reflects greater inclusion and accessibility. Over the past 20 years, average domestic fares, adjusted for inflation, have fallen from R$851 to R$543, and international fares from R$892 to R$665 since 2011[3]. This progress cannot be taken for granted. Tax proposals such as the application of a 26.5% VAT on airline tickets could jeopardize this evolution and affect the ability of millions of Brazilians to continue flying,” said Peter Cerdá, CEO of ALTA.

Argentina was the domestic market with the greatest percentage growth, with a 21% year-over-year increase. International traffic grew 19%, driven by a 52% increase in residents' departures abroad.

The main destinations were Brazil (+110%), Chile (+99%), and Europe (+45%).
This trend is due to a favorable exchange rate environment and the elimination of restrictions that have reduced the relative cost of international travel.

The second largest market in the region

Domestic traffic in Mexico grew 2.1% with an additional 109,000 passengers. However, several of the highest-volume routes posted declines. The international segment grew 2.1%, although the three main routes to the U.S. registered declines.

Domestic markets in Colombia, Chile, and LAC-US traffic declined, limiting aggregate growth:

In Colombia, domestic traffic fell 6.2% year-on-year, marking four consecutive months of contraction. The operating environment has become more challenging: in May, the TRM recorded an 8.3% year-on-year depreciation[4]. This is compounded by the increase in the national carbon tax since February.
In Chile, the domestic passenger count fell by 1%.
Extra-regional international traffic declined for the first time since April 2021, with a 0.6% drop.

International intraregional traffic showed a significant expansion

This segment had a combined growth of 15.4% across the main market pairs: Argentina–Brazil, Colombia–Panama, Brazil–Chile, and Argentina–Chile.

Summary of indicators

Capacity, measured in available seat kilometers (ASK), grew 3.2%.
Demand, in passenger kilometers (RPK), increased 3.0%.
The average load factor was 84.4%.
In the January-May period, air traffic in LAC reached 199 million passengers, representing a 3.9% increase compared to the same period in 2024.

Source: ALTA.