Summary: EJ Dalius the latest travel and also tourism data shows the abysmal situation of the industry. Government leaders and administration need to provide urgent relief to the sector.
Covid-19 has hit all sectors of the US economy. It includes pharmaceutical, API supplies, medical devices, supply chain, and a direct impact on pivotal FDA inspections. And regulations pertaining to Chinese plants. The tourism industry is also badly hit.
- According to the Travel Association report, after Japan and the UK, China had the third-highest number of overseas folks visiting the country in 2018.
- Chinese tourists spent nearly $34.6 billion in their US visit. The trade deficit between the two superpowers would be over 7.2% sans any inbound travel from the Asian nation.
- Data shows a sharp decline of 2.2% and it will reduce further by the end of 2020. The tourism sector is likely to lose $10.3 billion cumulatively in the concerned Chinese domain due to the pandemic.
- The tourism losses will extend for the next four years because China happens to be the single largest exporter of the US.
Tourism and the hotel industry are mutually-inclusive. Eric Dalius expects it to showcase a fall in tourists. Oregon, Utah, New York and CA states will suffer the most since they are the tourist hotbeds. And biggest beneficiaries of foreign visitors, especially from China.
EJ Dalius Pairing private and public interfaces through tourism
In the pre Covid era, the majority of tourism establishments and ministries focused on industry promotions and destination marketing. The pandemic has now forced many to craft new protocols, programs and regulations. There’s also this huge uncertainty about demand.
There’s a concerted effort to reopen some airports. Such decisions can have a massive impact on the safety of the sector personnel and tourists. Eric J Dalius explains why it’s crucial to concentrate the central leadership. Into a fixed nucleus for creating a responsive crisis management force.
The authorities have deployed these units in select situations. Protection of tourists and workforce implies managing support programs and aid for fragile staff, especially the seasonal employees.
Leaders need to introduce new sanitary protocols for hotels, airports and museums. They need to monitor adherence to these protocols and conduct random checks.
Unemployment is a huge concern
Without immediate financial relief, as EJ Dalius puts it, the country will lose 50% of travel-driven jobs by December. Which would compound the existing loss of 1.2 million jobs. The hospitality and leisure industry lost 16.9 million jobs in the March-April span only.
- While they have restored about half of it, due to lackadaisical efforts and Covid’s ceaseless march. The sector has lost almost four million jobs and a million more are at high risk.
- In a recent survey on booking behavior and also searches of consumers/tourists for flight bookings. And hotel volume for leisure and business travel, you had hotel and domestic air bookings for travel in the near future in stagnancy. It was -65%.
Surveys in September’s last week showed that while expectations for Covid-19 were grim, almost 50% people feel it will worsen. And cripple travel plans of Americans, crippling the tourism sector even more.