Global air freight volumes fell by 2% year-on-year in March 2016, according to data released by the International Air Transport Association.

Available freight capacity increased by 6.9% compared to March 2015.

IATA said that the weak results reflected subdued growth in world trade and were exaggerated by the strong performance in the first quarter of 2015.

“It is shaping up to be another tough year for air cargo,” said Tony Tyler, director general and CEO of IATA. “February 2016 world trade volumes were only 0.4% higher than at the end of 2014. And the expectations of purchasing managers give little optimism for an early uptick. The combination of fierce competition, capacity increases and stagnant demand makes this a very difficult environment in which to generate profits.”

Asia-Pacific and North American carriers, which account for approximately 60% of global freight traffic, recorded the highest decreases in demand, at 5.2% and 1.8% respectively.

Only carriers in Europe and the Middle East experienced year-on-year increases in demand in March 2016, according to IATA.