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The EU Does Not Consider Tourism Lost Despite the War
🇲🇽 Mexico /Economy & Trade

The EU Does Not Consider Tourism Lost Despite the War

From El Universal · (13h ago) Spanish Mixed tone

Translated from Spanish, summarized and contextualized by DistantNews.

TLDR

  • The European Travel Commission (ETC) does not expect the war in the Middle East to severely impact Europe's summer tourism season.
  • ETC Director Eduardo Santander described the current situation as a "cost crisis" rather than a "demand crisis" for tourism.
  • Rising fuel costs, particularly kerosene for aviation, are a primary concern, potentially leading to increased ticket prices and flight cancellations.

Despite ongoing geopolitical tensions and conflicts in the Middle East, the European Travel Commission (ETC) remains cautiously optimistic about the upcoming summer tourism season in Europe. Eduardo Santander, the director of ETC, has asserted that the war will not lead to a lost season, characterizing the current challenges not as a lack of demand, but as a crisis driven by escalating costs.

This distinction is crucial. While past crises often saw a dip in consumer desire to travel, the present situation is marked by rising operational expenses, particularly in the aviation sector. Fuel, a significant component of airline costs, has seen dramatic price increases, especially kerosene, essential for flights. This surge, linked to disruptions in key oil transit routes like the Strait of Hormuz, is creating a domino effect, pushing up ticket prices and potentially impacting travel budgets.

Realmente el verano para Europa no va a afectar mucho, pero, por primera vez en la historia de las últimas crisis que hemos tenido, esto no es una crisis de demanda, sino que es una crisis de costes, y el turismo se basa en costes, en márgenes. Es un efecto dominó

— Eduardo SantanderDirector of the European Travel Commission explaining that the main challenge for European tourism is not a lack of demand but rising costs due to the conflict.

Santander highlighted that the issue is reaching a point where consumers might be unable or unwilling to bear the escalating costs. The ETC's guidance to EU transport and tourism sectors acknowledges the continuous fuel supply interruptions and route closures stemming from the Middle East crisis. While shortages haven't been reported at airports yet, the potential for supply problems from June onwards, if the Strait of Hormuz remains closed, is a significant concern.

From a European perspective, particularly for countries heavily reliant on tourism, maintaining accessibility and affordability is paramount. The current cost crisis poses a direct threat to this balance. While the war itself may not deter travelers, the economic fallout—higher airfares and potentially reduced flight options—could significantly alter travel patterns and dampen the expected rebound in tourism. The focus now shifts to managing these costs and ensuring that Europe remains an attractive and viable destination for travelers despite the turbulent global economic climate.

si empieza a aumentar el margen por un sitio, empieza a aumentar hasta que hay una línea roja que probablemente el consumidor no pueda cruzar si se llega a unos precios desorbitados, tanto de aviación como de costes energéticos

— Eduardo SantanderDescribing the domino effect of rising costs in the travel industry, potentially reaching a point where consumers cannot afford flights or energy.
DistantNews Editorial

Originally published by El Universal in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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