Its the time of the year when we all start to think of travelling in the summer to a nice cheap relaxing location by the water ? Unfortunately we have to think again. There are a number of Countries that are attempting to see how to rescue their tourism industry and the US is no exception.. With quarantine restrictions in place in different parts of the world taking a holiday is harder than it’s ever been.
In the UK Visit Britain boss Patricia Yates yesterday predicted the economy would lose £15billion from inbound tourism this year. In China their travel and tourism employment numbers are looking to plunge as much as 90%. Travel and tourism are a significant part of the global economy, with market values counted in trillions of dollars. In 2019, the markets accounted for 10.4% of global gross domestic (GDP) product, and nearly 10% of jobs. But the coronavirus changed that in just a few months.
Statista data showed that between January 20th and March 30th, more than 52 million scheduled airline seats were affected. Moreover, China’s flight ticket transactions, including domestic, inbound, and outbound travel, registered the most significant loss, with a drop of 60% between April 22nd and April 29th, compared to the same week a year before.
Back home as one of the largest tourism markets globally, the United States is also expected to witness huge employment loss. In 2019, the country had more than 5,9 million people working in the travel and tourism industry. However, this number is expected to plummet by 80%, with more than 4.7 million jobs at risk.
The US Travel Association has warned that the coronavirus outbreak is set to hit the travel industry six or seven times harder than the 9/11 attacks. All of the largest airline companies in the country in recent weeks reported their first-quarter losses in years, with their shares suffering broad selloffs across stock markets.
There are significant differences in various Countries regarding their approach towards internal quarantine rules. Some specify 14 days upon entry others are warning would be travellers that when they return back home they would be subject to self isolation rules. These guidelines are playing havoc on those providing tourist services as well as those wanting to utilise their services. The net result is non-travel and people reconsidering staying at home and perhaps have a local break within their Country. This sentiment reflects the World Travel and Tourism Council data showing the total GDP loss would account for more than $2.6trn by the end of the year