Thailand fears 10-15% drop in foreign tourist arrival after Myanmar earthquake

The deadly Myanmar earthquake is set to hurt foreign tourist arrivals to Thailand in the coming weeks, the latest blow to an industry already reeling from dwindling Chinese visitors worried about travel safety.

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As reported by Bloomberg citing Thai Hotels Association, international tourist arrivals are expected to drop by 10%-15% or even more in the next two weeks as Friday’s 7.7 earthquake shook buildings in Bangkok and other Thai tourist hot spots, spooking prospective travelers.

“About 10% of foreign tourists checked out early after the quake, said Thienprasit Chaiyapatranun, president of the association, citing an initial survey among the group’s members. Some tourists, however, later returned to their hotels as they had no other options,” he said.

“A short-term impact is expected for the tourism industry because of safety concerns,” Thienprasit said by phone on Saturday.

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A slight decline in tourist arrivals could significantly impact Thailand's economy, where tourism employs one in five people and contributes around 13% to the GDP.

Thai officials are optimistic about boosting tourism to achieve a 3% growth target this year, as merchandise exports face challenges due to the Trump administration’s trade tariffs.

To reassure international travelers, Tourism and Sports Minister Sorawong Thienthong affirmed Thailand’s safety for tourists on Saturday, announcing a government-led safety audit of hotels and key tourist spots.

While the earthquake rattled buildings across Bangkok, leading to mass evacuations and suspension of public transport for a day, the city emerged largely unscathed in contrast to the massive destruction in Myanmar. The collapse of a high-rise building under construction in Bangkok was the biggest hit from the temblor, killing 10 workers and trapping dozens under its debris.

To be sure, tourist arrivals were already on the decline due to safety concerns in recent months. A series of high-profile human trafficking to scam centers in Myanmar via Thailand prompted some travelers from China, Thailand’s largest source for tourists, to shun the Southeast Asian nation, Bloomberg reported.

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Hotel bookings during the water-splashing Songkran festival next month haven’t been as good compared with two years ago, and post-tremor safety concerns could further hurt confidence among foreign visitors, Thienprasit from the hotel group said.

Foreign tourist arrivals in Thailand have been declining weekly since the end of the Lunar New Year rush in early February.

Bank of America economists have lowered their expectations, citing downside risks to the forecast of 38.1 million tourist arrivals for this year. This comes as Thailand enters the low season, with European tourist numbers dropping and Chinese arrivals yet to recover.

Despite this, Thailand has welcomed 8.9 million tourists since January, marking a 2.9% increase compared to the same period last year, according to the latest official data.

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Foreign visitors traveling in groups aren’t as concerned about safety as seen from the normal flight schedules at key Thai airports, said Adith Chairattananon, secretary-general of the Association of Thai Travel Agents.