Unemployment Rate Twice the National Average Due to Tourism Industry Collapse
Higher Economic Contribution of Tourism Compared to Other Cities Cited as Cause
Concerns Over Difficulty in Overseas Tourist Recovery Until 2025 Amid COVID-19 Spread

[Asia Economy New York=Correspondent Baek Jong-min] New York City is tense again. There are concerns that the worst COVID-19 infection outbreak experienced in March-April could recur. With the possibility of additional economic activity shutdowns due to the spread of COVID-19, there are growing fears that the tourism industry, which is also the backbone of New York City's economy, could fall into an even deeper slump.


The Statue of Liberty cruise ship is entering the pier. (Photo by Baek Jong-min, New York correspondent)

The Statue of Liberty cruise ship is entering the pier. (Photo by Baek Jong-min, New York correspondent)

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According to Worldometer on the 21st (local time), the number of new COVID-19 infections in Manhattan, New York City, the day before was 376. Queens reported 442 new cases, and the Bronx had 402 new infections. Over 1,200 patients were reported in these three areas alone.


With New York City's COVID-19 positivity rate already exceeding 3%, leading to the suspension of public school attendance, the prevailing expectation is that after next week's Thanksgiving, indoor dining and gym operations will likely be banned again.


Recently, New York City's infection situation is not particularly prominent compared to other states or major metropolitan areas. Texas, California, and Florida are seeing over 10,000 new infections daily again. Illinois, which had a maximum of about 4,000 infections in March, is now experiencing 15,000 cases.

Vanished Overseas Tourists...An Unfillable Void

Even though the infection spread in New York City is not yet as pronounced as in other regions, the city is tense because the damage caused by COVID-19 is greater here than anywhere else.


The collapse of the tourism industry, which contributes significantly to the economy, is considered a serious crisis for New York City. The tourism sector created hundreds of thousands of jobs across hotels, restaurants, theaters, and more, but now the term 'free fall' aptly describes its state.


Restaurants, museums, and art galleries?sectors of the tourism industry that have managed to operate to some extent?are likely to be hit directly if economic activity is halted again.


Recently, it has been difficult to find overseas group tourists in New York City. Individual tourists are also extremely few. With no tourists, the tourism industry is operating like an 'empty cart.'


Double-decker buses that used to be packed with tourists sometimes run with only one or two passengers. Sightseeing boats for the Statue of Liberty have become routinely empty during operations.


The weekday ridership of Statue Cruises, the operator of the Statue of Liberty sightseeing boats, is only 8-15% of what it was before the COVID-19 pandemic. Rafael Ibrue, the company's sales director, expressed concern, saying, "This is incomparable even to the times of the 9/11 attacks or Hurricane Sandy."


Compared to the complete shutdown of performing arts venues like Broadway musical theaters and the Metropolitan Opera, the situation of sightseeing boats and tour buses might be somewhat better.


Characters who take photos with tourists in front of Times Square have returned, but it is difficult for them to find customers. Recently, the only place in Times Square that still attracts crowds is a newly opened popular franchise donut shop.


New Yorkers are leisurely enjoying their time at the skating rink in Bryant Park. This rink, which is free to use, used to be packed with visitors on weekends before the pandemic. (Photo by Baek Jong-min, New York correspondent)

New Yorkers are leisurely enjoying their time at the skating rink in Bryant Park. This rink, which is free to use, used to be packed with visitors on weekends before the pandemic. (Photo by Baek Jong-min, New York correspondent)

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A recent visit to the Rockefeller Center observation deck made it easy to understand how severe the tourism situation in New York City is. This tourist attraction, which offers a panoramic view of the city, seemed to have more staff than visitors. Although the number of entrants is limited, even that quota is not being met.


The usually crowded free skating rink at Bryant Park was so sparsely used that it felt deserted. Tourists renting skates were hard to find.


The situation in museums and art galleries was slightly better but not significantly different.


Visitors at the Museum of Modern Art in New York are taking photos of Vincent van Gogh's "The Starry Night." Despite it being the weekend, there are no crowds, allowing visitors to take solo photos with the artwork. (Photo by Baek Jong-min, New York correspondent)

Visitors at the Museum of Modern Art in New York are taking photos of Vincent van Gogh's "The Starry Night." Despite it being the weekend, there are no crowds, allowing visitors to take solo photos with the artwork. (Photo by Baek Jong-min, New York correspondent)

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At the Museum of Modern Art (MoMA) in New York, visitors can comfortably take solo photos with famous works such as Vincent van Gogh's "Starry Night," Andy Warhol's "Campbell's Soup," Pablo Picasso's "Les Demoiselles d'Avignon," and Salvador Dal?'s "The Persistence of Memory." There is no need to worry about other visitors' gazes.


The New York City tourism promotion agency, NYC & Company, recently estimated that the number of visitors to New York City this year will be about 22 million, roughly one-third of the 66.6 million in 2019. Of these, 12 million visited before the COVID-19 outbreak. The remaining 10 million include medical personnel and essential workers who visited New York to support the COVID-19 response.

Overseas Tourist Recovery Difficult Even After 5 Years

Even after the pandemic ends, it seems difficult for foreign visitors to return. NYC & Company believes that the number of foreign tourists to New York City is unlikely to return to the 13.5 million level of 2019 before 2025.


Foreign tourists tend to stay longer and spend four times more than domestic tourists. The decline in foreign tourists is more painful than the decrease in domestic visitors.


The New York Times recently analyzed that the collapse of the tourism industry is the main reason New York City has been hit harder than most other major U.S. cities. New York City's unemployment rate in October was 14.1%, more than double the national rate of 6.9%.



As the world's most famous tourist city, New York is struggling with the harsh reality that the local economy cannot be sustained by its residents alone.


This content was produced with the assistance of AI translation services.

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