Japan’s tourism sector is bracing for heavy economic fallout after China warned its citizens against visiting, setting off a wave of cancellations that analysts estimate could cost the economy more than $14.23 billion a year.
The travel warning came after Japanese Prime Minister Sanae Takaichi told lawmakers that a Chinese attack on Taiwan threatening Japan's survival could trigger a military response. Beijing has demanded Takaichi retract her remarks. However, Tokyo has said they are in line with the government's position.
Since then small and mid-sized operators, many of which cater largely to Chinese group tours, are among the first to feel the impact. Within days, Tokyo-based tour operator East Japan International Travel Service says it lost 80% of its bookings for the remainder of the year, highlighting how quickly the sector has been hit.
Tourism-related stocks have also slid sharply since Friday, reflecting concerns of a broader slump.
More than 10 Chinese airlines have already offered refunds on Japan-bound routes through to 31 December, and one airline analyst estimates that around 500,000 tickets have been cancelled.
Analysts warn that if the freeze on travel continues, the losses could deepen well into next year, threatening the broader recovery of Japan’s tourism-dependent regions.
China and Hong Kong together account for around one-fifth of all tourist arrivals in Japan, according to official data.
Tourism makes up roughly 7% of Japan’s GDP, the World Travel & Tourism Council says, and has been a key driver of post-pandemic growth.
Imports of seafood
Meanwhile, the escalataing diplomatic dispute between Asia's top two economies has meant China is now banning all imports of Japanese seafood according to reports on Wednesday.
Asked about the reports at a press conference, China's Foreign Ministry Spokesperson Mao Ning said, "Under the current circumstances, even if Japanese seafood were to be exported to China, it would find no market."
China had said in June that it would resume importing Japanese seafood products from all but 10 of Japan's 47 prefectures.
The re-imposition will be a painful blow for many companies eager to re-enter a market that previously accounted for more than a fifth of all Japan's seafood exports.
Nearly 700 Japanese exporters had applied to re-register for shipments to China, Japanese Agriculture Minister Norikazu Suzuki told reporters on Tuesday. However, only three had been approved to date.
Before the 2023 ban, China was Japan's top scallop buyer and a major importer of sea cucumbers.
U.S. President Donald Trump said on Monday that he had paused a planned attack on Iran after Tehran sent a peace proposal to Washington. He said th...
Three people have been killed in a shooting at the Islamic Centre of San Diego, including a security guard while the two suspects were later found ...
At least four people have been killed in protests across Kenya over sharp fuel price rises, as a nationwide transport strike brought parts of the c...
Pakistan has deployed around 8,000 troops, fighter jets and air defence systems to Saudi Arabia under a mutual defence agreement, according to secu...
Global leaders gathered in Baku this week for the 13th session of the World Urban Forum, where heads of state and senior officials warned that rapi...
Government bond markets from Tokyo to New York extended losses on Monday (18 May) as rising energy prices linked to the Middle East conflict heightened inflation concerns and reinforced expectations that major central banks could keep interest rates higher for longer.
Japanese filmmaker Koji Fukada has said that the use of artificial intelligence (AI) to “jump straight to the result” risks undermining the purpose of art, which he believes should be rooted in self-expression and a deeper understanding of the world.
Japan’s first import of crude oil from Azerbaijan has highlighted the country’s energy vulnerability and renewed efforts to diversify supply chains beyond the Middle East, according to Professor Sejiro Takeshita of the University of Shizuoka.
Australia and Japan agreed on Monday to deepen cooperation on energy and critical minerals, as Japan’s Prime Minister Sanae Takaichi met her Australian counterpart Anthony Albanese during a three-day visit.
Bulgaria has won the Eurovision Song Contest for the first time, taking victory in a final overshadowed by a boycott over Israel’s participation and the war in Gaza.
The World Urban Forum (WUF13) continues in Baku, Azerbaijan on 18 May, addressing the global housing crisis. The day’s agenda includes the official opening press conference, the WUF13 Urban Expo opening and a ministerial dialogue on the Nairobi Declaration to advance Africa's urban agenda.
U.S. President Donald Trump said on Monday he had paused a planned attack on Iran after appeals from the leaders of Qatar, Saudi Arabia and the United Arab Emirates, allowing negotiations to continue over a possible deal to end the conflict.
A 5.2 magnitude earthquake struck China’s Guangxi region early on Monday, killing two people and forcing more than 7,000 residents in Liuzhou to evacuate as rescue efforts continued.
The World Health Organization (WHO) has declared an Ebola outbreak in the Democratic Republic of Congo (DRC) and Uganda a Public Health Emergency of International Concern (PHEIC), warning that the situation poses a significant risk of cross-border spread in Central Africa.
Three people have been killed in a shooting at the Islamic Centre of San Diego, including a security guard while the two suspects were later found dead after the attack, authorities have confirmed.
At least four people have been killed in protests across Kenya over sharp fuel price rises, as a nationwide transport strike brought parts of the country to a standstill.
Gunmen killed at least 10 people, including women and children, in an attack on a rural community in Nigeria’s northwestern Katsina State, residents said.
Russian President Vladimir Putin’s upcoming visit to China is expected to focus on strengthening bilateral ties, particularly through expanded trade and economic cooperation.
Israeli military strikes across Gaza killed at least eight Palestinians on Sunday, according to local health officials, as the Israel Defense Forces intensified operations targeting Hamas commanders and infrastructure across the enclave.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment