IATA Expands CASS Settlement Service Across Latin America as Air Cargo Growth Accelerates

The International Air Transport Association (IATA) has announced a significant expansion of its Cargo Account Settlement System (CASS) across Latin America, rolling out new domestic and export operations in Mexico, Paraguay, and Brazil as the region records its strongest sustained air cargo growth in a decade.

The announcement, made on June 8, 2026, signals a renewed commitment by the global aviation body to provide airlines, freight forwarders, and logistics operators in the region with streamlined, secure financial settlement infrastructure capable of supporting accelerating trade volumes.


A Region in Motion

Latin America’s air cargo market has expanded by 38.8% cumulatively over the past decade, driven by an average annual growth rate of 3.3% in cargo tonnage per kilometre. That trajectory has created mounting pressure for robust, scalable settlement systems capable of handling the increasing complexity of cross-border and domestic freight transactions.

IATA’s expansion directly addresses that need, targeting three of the region’s most strategically significant markets.


Mexico: A Landmark Domestic Launch and FlexiPay Integration

Mexico stands as the centrepiece of IATA’s Latin America push. CASS Domestic operations commenced in the country in April 2026, building on nearly four decades of CASS Export presence — Mexico has operated CASS Export since 1987.

The domestic air cargo segment in Mexico is substantial. In 2025, it moved more than 125,000 tonnes, accounting for 15.8% of all tonnage transported from, to, and within the country. Growth momentum is visible at the route level: the Monterrey–Mexico City International Airport corridor expanded by 50.9% year-on-year in the first quarter of 2026, while the Tijuana–Guadalajara route grew 36%, and the Mexico City International Airport–Hermosillo connection increased by 17%.

Beyond the domestic CASS launch, Mexico will become only the second country in the world — after the United States — to adopt IATA FlexiPay. The system enables real-time billing, secure prepayments, and flexible payment agreements among airlines, cargo agents, and freight forwarders, introducing a new standard of financial efficiency to the Mexican freight ecosystem.


Paraguay: Emerging Export Market Primed for Lift-Off

In Paraguay, IATA’s CASS Export operation is scheduled to go live in the fourth quarter of 2026. While Paraguay remains one of Latin America’s smaller air cargo markets in absolute terms, its growth trajectory is exceptional: volumes surged 225% year-on-year in 2025, reaching 42,000 tonnes. IATA has described anticipated industry uptake as strong, reflecting both the scale of growth and the logistics sector’s appetite for formal settlement infrastructure.


Brazil: Domestic CASS to Follow in Early 2027

Brazil, by far the region’s largest air cargo market, is the next major milestone. IATA plans to introduce CASS Domestic in Brazil in early 2027. In 2025, Brazil transported over 791,000 tonnes of air cargo, with domestic traffic accounting for 7.9% of that total. Air cargo carried 5.9% of Brazil’s total exports by value in 2025 — high-value, low-density freight that accounted for just 0.3% of the country’s total export weight, underscoring the premium nature of the segment.


Global Scale, Regional Confidence

The expansion is underpinned by CASS’s proven global track record. In 2025, the system processed $47.5 billion in transactions worldwide, achieving a 100% on-time settlement rate. IATA currently manages 89 CASS Export operations, nine CASS Import operations, and two CASS Domestic operations globally — a figure that now includes the newly launched Mexico Domestic CASS.

Juan Antonio Rodríguez, IATA’s Executive Director for Financial Services, BSP & CASS, underscored the significance of the regional push:

“IATA has supported airlines in Latin America with streamlined payment and settlement systems for decades. The cargo industry recognises the value of CASS and trusts IATA to support the growth of domestic markets in Brazil and Mexico, as well as an emerging export market in Paraguay.”


Implications for the Logistics Sector

For freight forwarders and airlines operating in these markets, the rollout offers tangible operational advantages. CASS centralises and automates the settlement process, replacing fragmented bilateral billing arrangements with a single, standardised system. This reduces administrative overhead, minimises reconciliation errors, and accelerates cash flow — critical advantages in high-volume, margin-sensitive logistics environments.

The introduction of FlexiPay in Mexico specifically addresses a longstanding industry demand for flexible, real-time financial instruments, positioning the country as a regional benchmark for cargo financial modernisation.


Outlook

With the Mexico Domestic CASS already live, Paraguay’s export service imminent, and Brazil’s domestic launch on the 2027 horizon, IATA’s footprint in Latin America is set to deepen substantially over the next 18 months. As cargo volumes continue their upward trend across the region, the availability of efficient, internationally aligned settlement infrastructure will be a key enabler of sustainable growth for carriers and logistics operators alike.


The International Air Transport Association (IATA) is the trade association for the world’s airlines, representing approximately 320 carriers that together account for some 83% of global air traffic. Founded in 1945 and headquartered in Geneva, Switzerland, with its executive offices in Montreal, Canada, IATA supports aviation through safety standards, policy advocacy, technical programmes, and financial services. Its Cargo Account Settlement System (CASS) is among its most operationally critical services, processing trillions of dollars in transactions annually and providing airlines and freight forwarders worldwide with a trusted, neutral settlement platform.


Cosmopolitan The Daily is a global business publication delivering authoritative, in-depth coverage across Finance, Technology, Energy, and Real Estate sectors. With editorial offices in New York, Toronto, London, Dubai, Bangalore, Kuala Lumpur, and Sydney, the publication provides directors and executives of leading corporations worldwide with the market intelligence and breaking business news they need to make informed decisions. Complementing its journalism, Cosmopolitan The Daily operates the annual Business Excellence Awards programme, recognising innovation and value creation across industries and geographies — from high-growth startups to large multinationals.

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