While the disastrous effects of the novel coronavirus are being seen throughout the world, with over 2,000 infections and 56 deaths in China alone, the Chinese tourism industry has also fallen victim during its busiest period.
The emergence of the virus came just as celebrations for the Lunar New Year started, which is when most Chinese visit their “birth city” to celebrate with their relatives. Domestic travel within China and international travel from other countries skyrocket and it’s also one of the most profitable quarters for Chinese airlines and tourism companies.
The coronavirus has not only forced airlines to take expensive precautions, but the virus has also discourage travel where travel is permitted, with other parts of the country completely shut down and all travel forbidden. It should come as no surprise that this virus has forced prominent Chinese tourism companies to refund cancellation fees, resulting in large losses. Chinese airlines have seen their value fall by over 13%, signalling a disruption to come as more and more cities are quarantined.
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