Hotels and airlines in Thailand are facing significant challenges as Chinese tour groups cancel trips ahead of the Lunar New Year.
Once a peak travel period, the season is now marked by concerns over safety, which has led to a noticeable slowdown in new bookings from independent travelers.
Hotels in key destinations, such as Bangkok and Phuket, have already started seeing mass cancellations from Chinese tour groups. According to Prachoom Tantiprasertsuk, chairperson of marketing at the Thai Hotels Association (THA), these cancellations are more common among organized tours, as group bookings can typically be refunded, unlike individual reservations. She added that the THA is closely monitoring the situation and expects a clearer picture of the overall impact later this week.
Airlines are similarly affected. Thai Lion Air and Thai AirAsia have reported a significant drop in bookings from Chinese travelers, with some tour operators canceling charter flights to popular destinations like Phuket. While independent travelers remain more flexible with their plans, new bookings have slowed considerably, raising concerns about the overall demand for the season.
The safety concerns stem from recent reports of job scams and trafficking cases involving Chinese nationals in Southeast Asia. Although Thai authorities have emphasized that these incidents occurred outside Thailand, the perception of risk has impacted tourist confidence.
Natthriya Thaweevong, permanent secretary for tourism and sports, stated that Thailand is taking measures to reassure travelers, including strengthening safety protocols and deploying Tourist Police to provide 24-hour assistance.
Despite these cancellations, the Thai hospitality sector had initially anticipated a strong Lunar New Year season. Prior to the recent concerns, hotels in Bangkok had reported occupancy rates of 70-80%, while resort destinations like Phuket had projected rates as high as 90%. However, the situation has shifted rapidly, with hotels now urging the government to restore confidence among Chinese tourists to prevent a potential decline in revenue.
Airlines are adopting a wait-and-see approach, with the visa-free travel policy between Thailand and China offering some flexibility. According to industry experts, many travelers may still decide to book trips just one to two weeks before the holiday, leaving a small window of opportunity for recovery.
The ripple effect of these cancellations underscores the importance of safety and confidence in maintaining Thailand’s status as a leading tourist destination. With Chinese travelers representing a key market for the country, restoring trust is critical to ensuring a successful recovery for the tourism sector.
