Japanese Tourism Industry Struggles Due to COVID-19 Impact... "Accommodation Bookings Down Up to 90%"
[Asia Economy Reporter Jeong Hyunjin] The Japanese tourism industry is freezing up due to the spread of the novel coronavirus infection (COVID-19), the Nihon Keizai Shimbun reported on the 24th. The Japanese government revealed that some accommodation providers, including hotels, saw reservations for March and April drop by as much as 90%.
According to the report, Kazuyoshi Akaba, Japan's Minister of Land, Infrastructure, Transport and Tourism, announced the results of an investigation into the impact of COVID-19 on tourism-related industries such as aviation, accommodation, and travel during a press conference after the Cabinet meeting on the same day. The Ministry of Land, Infrastructure, Transport and Tourism conducted a survey as of the 17th on the number of reservations and revenue across various sectors nationwide, including accommodation, travel, aviation, and charter buses.
In a survey of 97 accommodation providers, responses indicated that reservations for March and April are expected to decrease by 30% to 90% compared to the same months last year. Small and medium-sized travel agencies reported that reservations dropped by 74% in March alone and are expected to decrease by 68% in April.
Charter bus operators anticipated passenger transport revenue to decline by 79% in March and 64% in April. The aviation industry reported that as of the 13th, the number of passengers transported in March decreased by 60% on international flights and 45% on domestic flights, with projections for April showing a 46% decrease on international flights and 45% on domestic flights.
The Japanese government held a focused public hearing with the tourism industry the day before to hear opinions from industry stakeholders regarding the COVID-19 situation. Minister Akaba stated, "We will respond appropriately to implement relevant measures once the situation stabilizes."
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Earlier, the Japan Tourism Agency announced on the 19th that the number of foreign visitors to Japan in the previous month was 1,085,100, a 58.3% decrease compared to the same period last year. The decline rate of foreign visitors to Japan is the second highest on record, following April 2011 (-62.5%) immediately after the Great East Japan Earthquake. The sharp drop in foreign visitors is due to the spread of COVID-19.
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