Latin America’s air cargo market has grown steadily for a decade. Now IATA is expanding the financial infrastructure to match it. Cargo tonne kilometres for Latin American airlines grew at an average of 3.3% per year between 2016 and April 2026, totalling cumulative growth of nearly 39%. IATA is responding with structured CASS rollouts across three key markets: Brazil, Mexico, and Paraguay.
The moves are not symbolic. They reflect real volume increases, real routing complexity, and a clear demand for standardised settlement between airlines, freight forwarders, and cargo agents. In 2025 alone, CASS processed USD 47.5 billion in payments globally, with a 100% timely settlement rate.
Mexico Leads the Way with CASS Domestic and FlexiPay
Mexico launched CASS Domestic operations in April 2026. This builds on a CASS Export system that has been running since 1987. In 2025, more than 125,000 tonnes of cargo moved domestically within Mexico. That figure represents nearly 16% of all air cargo moving to, from, and within the country. Key domestic routes are growing fast. The Monterrey to Mexico City International Airport route grew 50.9% in Q1 2026. Tijuana to Guadalajara was up 36%. Mexico City to Hermosillo rose 17%.
Mexico will also become the second country after the United States to adopt IATA FlexiPay. The system enables real-time billing and more flexible payment arrangements between freight forwarders and airlines. For forwarders working high-frequency domestic routes, that is a meaningful shift. Settlement becomes faster and more predictable. Cash flow improves.
Paraguay Emerges as the Region’s Fastest-Growing Cargo Market
Paraguay’s numbers are hard to ignore. The country transported more than 42,000 tonnes of air cargo in 2025. That is a 225.3% year-on-year increase. For a market of its size, that kind of growth signals structural change, not a one-off spike. Export corridors are opening. Shippers are choosing air over road and sea for time-sensitive and high-value goods.
IATA plans to launch CASS Export operations in Paraguay during the final quarter of 2026. The settlement infrastructure is being built ahead of further growth. It gives airlines and forwarders in the market a standardised billing framework. That reduces administrative friction and supports commercial confidence in a market still maturing.
Brazil Prepares for Domestic Settlement as Volumes Scale
Brazil is the region’s largest air cargo market. Airlines serving Brazil moved more than 791,000 tonnes in 2025. Domestic flights accounted for 7.9% of that total. Air cargo represented nearly 6% of total Brazilian export value, despite high-value, low-density goods making up just 0.3% of export weight. That ratio underlines how critical air freight is for premium Brazilian exports.
IATA has operated CASS Export in Brazil for over twenty years. CASS Domestic launches in early 2027. The extension closes a gap. Domestic settlements will now operate within the same standardised framework as export movements. For forwarders active on Brazilian domestic lanes, this reduces billing complexity and aligns financial processes across the full network.
“IATA has supported airlines in Latin America with optimised payment and settlement systems for decades. The air cargo industry has long recognised the value of IATA’s CASS and now relies on IATA to support the growth of domestic markets in Brazil and Mexico, as well as an emerging export market in Paraguay.”
Juan Antonio RodrÃguez, IATA Director of Financial Services, BSP & CASS
What This Means for Freight Forwarders in the Region
Latin America’s air cargo growth is real and sustained. Three markets are now receiving dedicated settlement infrastructure to support that growth. Forwarders working these lanes need reliable systems behind them. Billing errors, payment delays, and settlement disputes cost time and margin. CASS reduces all three. FlexiPay adds cash flow flexibility on top. These are practical upgrades with direct commercial impact.
For independent forwarders and SMEs moving cargo across Latin America, the window to grow on these lanes is open now. Volumes are up. Infrastructure is improving. The question is whether your quoting and booking tools are keeping pace. See how Cargo Solutions Network supports forwarders competing on global and regional lanes, including Latin America, without subscription fees or territory limits.
Frequently Asked Questions
What is IATA CASS?
CASS stands for Cargo Accounts Settlement Systems. It is an IATA-operated platform that simplifies billing and payment settlement between airlines and freight forwarders. It uses CASSLink, a web-based e-billing tool, to process invoices and payments. In 2025, CASS settled USD 47.5 billion globally with a 100% on-time rate.
Why is IATA expanding CASS in Latin America now?
Ten years of consistent growth justify the investment. Cargo tonne kilometres for Latin American airlines grew 38.8% between 2016 and April 2026. Markets like Paraguay are growing at triple-digit rates. Brazil and Mexico have domestic volumes that now warrant dedicated settlement infrastructure.
What is IATA FlexiPay and which countries use it?
FlexiPay is an IATA payment tool that allows real-time billing and more flexible financial arrangements between airlines and forwarders. The United States is the first country to use it. Mexico will be the second, following the April 2026 CASS Domestic launch.
When does CASS Domestic launch in Brazil?
IATA plans to launch CASS Domestic operations in Brazil in early 2027. Brazil already has a CASS Export system that has been active for over twenty years. The domestic extension covers the 7.9% of total Brazilian air cargo that moves on domestic routes.
How do these changes affect independent freight forwarders?
Standardised settlement reduces billing disputes and accelerates payment cycles. For independent forwarders, this means less time on admin and more commercial confidence when booking cargo on Latin American lanes. Paired with the right quoting tools, it makes regional growth more accessible.
At Cargo Solutions Network, we track shifts like this closely. Latin America’s growth trajectory is clear. If you move cargo on these lanes, quote and book direct through CSN at zero subscription cost. Built by freight people, for freight people.
