Tourist arrivals from key Middle Eastern markets to Thailand projected to decline significantly due to ongoing airspace issues.
The ongoing conflict between Israel and Iran is anticipated to severely affect Thailand's tourism sector, particularly from five key Middle Eastern markets.
According to recent statements, arrivals from these markets could decline by as much as 50% if airspace closures persist.
The Tourism Authority of Thailand (TAT) has reported that visits from the Middle East, especially to popular tourist destinations like Phuket, have already started decreasing as a direct consequence of the conflict.
Thapanee Kiatphaibool, the governor of TAT, noted that several major airlines, including Emirates, Etihad, Qatar Airways, Flydubai, Air Arabia, Oman Air, and SalamAir, have altered their flight paths to bypass conflict zones, which has constrained air travel in the region.
Mahan Air, based in Tehran, has become the first airline to suspend flights to Bangkok and Phuket amid these airspace restrictions, contributing to a notably diminished Iranian market.
In June 2024, the five markets of Iran, Iraq, Jordan, Lebanon, and Syria accounted for 7% of visitors arriving in Thailand from the Middle East, totaling 100,781 travelers.
Ms. Kiatphaibool suggested that arrivals from these regions may drop to between 3,500 and 5,000 in June, reflecting a forecasted decline of 30-50%.
This potential reduction is particularly concerning during the Eid al-Adha festival, a peak travel period that saw 7,165 travelers last year.
In addition, TAT is closely monitoring the potential long-term impacts on tourism from other Middle Eastern countries, namely Saudi Arabia, the United Arab Emirates, Oman, Kuwait, Qatar, and Bahrain, which represent about 80% of Thailand's Middle Eastern tourism market.
Should perceptions of air travel safety decline among tourists, further declines in arrivals could occur.
Key tourist hotspots such as Bangkok, Pattaya, Phuket, and Chiang Mai are expected to bear the brunt of this short-term impact.
If the geopolitical situation stabilizes within the month, there may be a rebound in tourist arrivals starting in July, as airlines have indicated plans to initiate new routes to Thailand in the near future.
Royal Jordanian Airlines is set to commence the Amman-Bangkok route, offering two flights per week beginning in August.
The TAT has set an ambitious target of attracting 1.06 million visitors from the Middle East in 2025, representing an 11% increase from the previous year, with a revenue goal of approximately 86 billion baht.