Issue #143 - The Top 6 Travel & Tourism Talking Points in… South East Asia!
Issue #143 - The Top 6 Travel & Tourism Talking Points in… South East Asia!
What’s hot in Thailand, Malaysia, Vietnam, Cambodia, China and India?
Welcome to issue 143 of Asia Travel Re:Set.
Just back to Malaysia after 3 weeks in Europe - and a little jet lagged - so this issue is slightly late. Back to normal next Sunday.
A new McKinsey global travel report notes (among many other interesting insights) that “source markets are shifting,” which is hard to argue against.
South East Asia certainly aligns with this theory.
So, let’s follow that train of thought…
Thanks for checking-in.
- “IN THE NEWS”
- The Top 6 Travel & Tourism Talking Points in South East Asia!
What’s hot in Thailand, Malaysia, Vietnam, Cambodia, China and India?
“IN THE NEWS”
What is Cultural Stewardship in tourism? And how can responsible practices help preserve cultural heritage and fuel economic empowerment for local communities and visitor economies? Enjoyed a compelling discussion with Enver Duminy, CEO, Cape Town Tourism, and Hafsa H. Mbamba, CEO, Zanzibar Commission for Tourism, during the Halal in Travel Global Summit 2024, which took place from 28-30 May.
The Top 6 Travel & Tourism Talking Points in South East Asia!
May was another frenetic month of travel activity in ASEAN and beyond. Here’s an updated summary of The South East Asia Travel Show’s monthly rewind edition.
1) “Sudden, Extreme Turbulence”
Initial (and fairly detailed) findings from the flight data recorder by Singapore’s Transport Safety Investigation Bureau of the “Clear Air Turbulence” (which is hard for pilots to foresee) aboard Singapore Airlines flight SQ321 were released this week.
The report confirms that “developing convective activity” (on route from London-Singapore on the morning of 21 May) above southern Myanmar destabilised the plane. This caused “rapid changes in Gravitational force over a 4.6 second duration resulting in an altitude drop from 37,362 to 37,184 feet. This sequence of events likely caused the injuries to the crew and passengers.”
One person died and 25 were still in hospital on Friday in Bangkok, where the plane made an emergency landing 56 minutes after the “sudden, extreme turbulence” event. Will data-driven “turbulence detectors” provide forewarning?
2) Malaysia Airports Takeover Bid
Malaysia Airports (MAHB), which is publicly listed and operates 39 airports (5 of which are international) in Malaysia plus Istanbul Sabiha Gökçen Airport, has confirmed media reports of a potential takeover valued at around RM12 billion.
A consortium called Gateway Development Alliance, which is headed by Khazanah Nasional (Malaysia’s sovereign wealth fund) and the Employees Provident Fund (Malaysia’s private pension fund) plus New York-based Global Infrastructure Partners (GIP) and Abu Dhabi Investment Authority (ADIA), intends to buyout the firm’s shares. Khazanah currently owns a 33.2% stake in MAHB, EPF 7.9% and ADIA 0.13%.
The buyout is generating controversy in Malaysia due to GIP being owned by BlackRock, which is an investor in companies that are active in Israel.
3) China Back as Vietnam's #1 Market
For the first time since the pandemic, May saw China became the top monthly visitor market in Vietnam. Boosted by the Golden Week holiday outflow, 357,907 Chinese arrivals represented nearly 40% of all visitors. South Korea placed 2nd, with 351,000.
Vietnam received almost 7.6 million visitors in the first 5 months of 2024, up a notable 3.9% versus the same 2019 period. Overall, the top 5 inbound markets so far this year are South Korea, China, Taiwan, US and Japan.
4) More F1 Races in South East Asia?
Thailand and Indonesia are battling for pole position as Liberty Media, US-based owner of the F1 Grand Prix series, announced plans for a 2nd race in South East Asia.
The Singapore night-time street race is currently ASEAN’s only F1 event. Vietnam’s controversial F1 debut was postponed in 2020, and it failed to secure a slot for the Hanoi race in 2021. Malaysia ended its F1 contract in 2017, although state oil company, and F1 sponsor, Petronas wants it to return to KL.
Thai Prime Minister Srettha Thavisin is leading a campaign to promote Thailand’s case for a race to enhance its tourism economy. In addition, South Korea wants to launch an F1 street race in 2026.
5) Cambodia Debuts New Delhi Flights
Cambodia Angkor Air has announced it will introduce its inaugural direct flight connecting the capital Phnom Penh with New Delhi. The four-weekly flights schedule begins on 16 June, and is hoped to encourage more Indian leisure and medical tourists to visit Cambodia.
While new flights are frequently launched between ASEAN nations and India, this one is particularly interesting. In addition to bringing tourists, new air capacity is viewed across the region as a conduit for investment to grow economies and build infrastructure. In that context, opening up Cambodia - which along with Laos has the closest political ties among ASEAN members with China - to India is intriguing.
6) Thailand’s Visa Bonanza
As we noted on Friday’s The South East Asia Travel Show, Thailand continues to “throw the kitchen sink” in its efforts to reach the coveted goal of 40 million annual visitors. This week, the government announced a doubling of the 30-day visa-free stay to 60 days for visitors from 93 countries, and introduced visa-on-arrival for nationals of 31 countries (previously 19).
It also introduced a Destination Thailand Visa targeting “digital nomads, remote workers, freelancers [and] those who want to learn Muay Thai and Thai cuisine.” A big question remains: To what degree does policy-driven “hard marketing”, such as visa liberalisation, add incremental value to a visitor economy over time? Watch this space.
Listen to this week’s The South East Asia Travel Show as Hannah and I round up the top 8 travel and tourism talking points in May. Join us on a trip through Singapore, Thailand, Indonesia, Malaysia, Cambodia and the Philippines, plus China and India.
Listen to “‘Clear Air Turbulence’, Thailand’s Visa Bonanza, Singapore’s Vision 2040 & Vietnam Shades 2019: May 2024 in Review” here:
🎧 Spotify 🎧 Apple Podcasts 🎧 Website
Or search for The South East Asia Travel Show on any podcast platform
And, that’s a wrap for issue 143.
The Asia Travel Re:Set newsletter will return next Sunday.
Until then, find me at LinkedIn, The South East Asia Travel Show and High-Yield Tourism.
Happy travels,
Gary