Asia Travel Re:Set #35 - Asia Pacific Travel & Tourism Report: Issue 1, Part II
South East Asian nations get serious about reopening their travel economies.
Hello. Welcome to Asia Travel Re:Set…
Firstly, a quick ‘ Thank You’ for the positive response to our debut Asia Pacific Travel & Tourism Report last week. Jaeyeon Choe, Michelle Dy and I are very grateful for all the feedback we received - and the many new subscribers who signed up.
Michelle and Jaeyeon will return on 25 April.
Before then, I’ve produced an easy-to-read recap of the major March travel talking points for which there was no space to include in last week’s report.
So, in ‘Part II’, I’ll speed through a region where nations are formulating new tourism strategies in response to Thailand’s out-front “Wait No More” position on reopening. (click here to watch the highly impressive new 30-second teaser video.)
This selection of March developments neatly sets up April, which promises to be a prolific month of travel announcements, unveiled policy plans - and spoonfuls of spin.
Thanks for being on board,
Gary
The Sunday Itinerary
- DashBoard
From 1.8 trillion down to -96 in Asia Pacific this week.
- QuoteBoard
Airline developments in New Zealand, China, Malaysia
- Asia Pacific Travel & Tourism Report - Issue 1, Part II
An easy-to-read sweep through March’s major travel talking points.
DashBoard
From 1.8 trillion down to -96 in Asia Pacific this week…
KRW1.8 trillion: Korean Air confirmed its acquisition of Asiana Airlines will see the two airlines integrated into one carrier over a 2-year period. [Orient Aviation]
JPY744.6 billion: Foreign tourism expenditure in Japan in 2020 was the lowest since travel spend records were first recorded in 2020. [Japan Tourism Agency]
32,647: On 26 March, Macao recorded its highest single-day visitor total since the pandemic began. [Macao Government Tourism Office]
23%: Australia’s Sunshine Coast Airport is expecting a big uplift in flight arrivals this Easter Weekend compared to the same 2019 period. [Official LinkedIn Page]
-96%: International visitor arrivals in Asia Pacific collapsed almost totally in January 2021 compared to the same 2020 month. [UNWTO]
QuoteBoard
You heard it here…
"New Zealand has the strongest domestic travel market in the world at the moment, and this is just another way Air New Zealand is doing everything we can to keep Kiwis connected."
Leanne Geraghty, Chief Customer and Sales Officer of Air New Zealand, says domestic business travel reached 90% of pre-COVID levels. [Company statement]
"Looking forward to 2021, the global pandemic trend is still highly uncertain and various risks brought by the impact of the pandemic continue to emerge."
China Southern Airlines [Hong Kong Stock Exchange filing]
“I’ve got 8 years of Grab doing it to learn from. I don’t have to waste all that money with… building technology, training drivers and training the market how to order. They have done all that for me. The ride-hailing model has been built.”
AirAsia CEO Tony Fernandes announces that South East Asia’s largest LCC will launch a ride-hailing service in its home Malaysian market. [The Edge]
Phuket beach image courtesy of Tourism Authority of Thailand
Asia Pacific Travel & Tourism Report - Issue 1, Part II
An easy-to-read sweep through March’s major travel talking points…
Thailand was the most talked-about destination in March, as it pushed on with its “Sandbox” reopening strategy. After months of struggling to forge a viable concept, it wants to bring back vaccinated tourists to Phuket. Various add-ons may be grafted to this base. Koh Samui is making a play to join the scheme. Innumerable ‘Ifs’ may enter the equation before the proposed 1 July start. These will include receiving sufficient vaccine supplies for residents and finding markets open and willing to send travellers.
To get things moving, the Tourism Authority of Thailand released details of new entry procedures for vaccinated travellers from 1 April, including a list of 7 officially sanctioned vaccines. Less positively, Thai Airways submitted its “rehabilitation plan,” to the Central Bankruptcy Court, which involves shedding around 50% of staff.
Tourism Authority of Thailand released details of new entry procedures for vaccinated travellers from 1 April.
Amid speculation of an impending travel bubble with Australia, Singapore, is pushing its MICE sector after piloting business events at Marina Bay Sands. These included the PCMA Convening Leaders summit. The city state is, of course, gearing up to host a special edition of the World Economic Forum, from 17-20 August. Meanwhile, the Singapore Major professional e-sports tournament, hosted at Fairmont Singapore, didn’t begin smoothly. Two teams withdrew and a US competitor, who flew in from Romania, tested positive before the start. The final of the 8-day gamer fest is today.
Disappointment resonated across Australia in March as New Zealand Prime Minister Jacinda Ardern delayed announcing a start date to convert the 1-way Trans-Tasman Travel Bubble into a 2-way air corridor. A statement is eagerly expected this coming Tuesday. In advance, Australia has amended federal legislation to exclude New Zealand from the ban on outbound air travel for Australian residents.
In the meantime, Australians fought off new COVID-19 state border closures and political backbiting to snap up half-price air tickets to 18 domestic destinations.
On this week's The South East Asia Travel Show, we chatted with Dirk Singer, Research Director of SimpliFlying, about the Restarting Travel in 2021 White Paper.
We discussed the key travel reopening issues that are perplexing policymakers across Asia Pacific, Europe, North, South & Central America, Middle East and Africa.
Click HERE to listen to the podcast.
Ukraine removed the entry visa requirement for Chinese travellers until September.
China unveiled an International Health Certificate using the WeChat system, and simplified entry rules for inbound visitors inoculated with a Chinese COVID-19 vaccine. In the outbound direction, Ukraine announced it is removing the entry visa requirement for Chinese travellers from 1 April until at least 30 September.
While the world awaits the return of Chinese holidaymakers, a consumer survey report by Dragon Trail Interactive highlighted a distinct sense of unease. Some 55% of surveyed Chinese travellers remain unsure at what point in future they would consider travelling overseas, with only 21% expecting it to be in Q3 or Q4 of 2021. Meanwhile, a new (and highly recommended) survey report by McKinsey highlighted “non-linear” patterns of travel demand, concluding: “The [Chinese] travel sector’s path to recovery is not likely to be a straightforward one.”
Japan reluctantly announced that inbound spectators will not be allowed at this summer’s delayed Tokyo Olympics.
Japan reluctantly announced that non-resident spectators will not be allowed to attend this summer’s delayed Tokyo Olympics. Despite widespread negative sentiment in the media, these may not be the downbeat Games many are predicting. I attended the 2008 Olympics in Beijing, where visa restrictions meant few foreign faces in the crowds except overseas residents living in China. The Games were considered pretty successful.
As Olympic preparations continue, the Japanese capital’s sakura cherry blossoms enchanted residents by flowering 12 days ahead of time.
Continuing its strong streak since reopening in July, Maldives recorded 109,585 visitor arrivals in March. Meanwhile, Seychelles reopened its borders for all tourists (except from South Africa) showing a negative PCR text, with 12 airlines serving the island - including Aeroflot, El Al/Arkia, Emirates, Turkish Airlines and Qatar Airways.
The long-running KL-Singapore high-speed railway saga was finally closed with Malaysia compensating Singapore RM320 million for backing out of the project.
Indonesia promoted a ‘Safe Corridor’ to bring Singaporean tourists (exclusively) back to the islands of Batam and Bintan in April. This small-scale, still unconfirmed, pilot would be a testing ground for a reopening of Bali to inbound travellers, perhaps from July. Balinese media reported plans by Indonesia to introduce a 5-year renewable long-stay visa. Interested visitors may need to stump up USD142,000 as a deposit.
In Malaysia, the long-running KL-Singapore high-speed railway saga was finally closed with Malaysia compensating Singapore RM320,270,519 for backing out of the project. Another long-mooted project to create three ‘reclaimed’ islands off the coast of Penang took a step forward with the awarding of a first RM3.8 billion contract. If completed, the three reclaimed islands will range in size from be 3.23-9.3 sq km.
Vietnam’s Ministry of Transport proposed welcoming vaccinated visitors from September.
Cambodia cancelled the controversial Angkor Lake of Wonder casino resort development citing its proximity to the ancient Khmer temples of Angkor Wat. This followed a concerned missive issued by UNESCO.
In Vietnam, the Civil Aviation Authority will permit flight services from Japan, South Korea and Taiwan in July. Meanwhile, Bamboo Airways - which is planning its COVID-delayed IPO later for later in 2021 - announced it had secured slots from May to launch its first direct flight to/from London Heathrow.
As March neared its end, the Ministry of Transport proposed welcoming vaccinated international visitors from September - but only from countries administering the same vaccines as Vietnam.
Stories of The Month
Which just leaves space for unquestionably the two best travel stories of March, both of which herald from South Korea.
Item 1 was the Purple Islands initiative in the Banwol and Bakji Islands, which saw locals paint houses, bridges and monuments (and wear clothes) an Insta-friendly lavender hue to match the seasonal balloon flowers and appeal to domestic tourists.
Item 2 needs no comment: Local firm aims to turn Korea into hub of hair-transplant tourism.
And, that’s a wrap for Issue 35.
Until next week, find me on Twitter, LinkedIn and the Asia Travel Re:Set website.
And feel free to send comments and feedback to gary@check-in.asia
Have a great week,
Gary