The 8-magnitude earthquake that devastated Sichuan Province on May 12 will seriously hinder tourism in the affected areas in the short term.
Flights to Sichuan are among the company’s most popular travel programs, generating about 10 percent of all domestic travel revenue.
When the earthquake occurred on May 12, 298 tourists on Shanghai Spring International Tours were in the province, including 281 visitors from Shanghai and 17 from Shanxi Province. They were all safely home by May 21.
Many customers heading to other regions of China canceled their flights with the company after the earthquake. Part of the reason, Zhang said, is that the natural disaster has cast a “psychological shadow” over the entire nation.
The quake is the second disaster to negatively affect the country’s tourism industry this year, after the worst snowstorms to hit China in half a century wreaked havoc in the southern part of the country in February.
The prolonged cold weather cooled the enthusiasm of the travelers during the Spring Festival. China National Tourism Agency figures showed the country’s tourism industry earned 39 billion yuan during Golden Week this year, 6.2 percent less than in 2007. Many popular tourist spots reported fewer visitors during the period, as weather and traffic concerns led many people to cancel travel plans.
China previously had three golden weeks a year — one during the Lunar New Year, one starting on Labor Day on May 1 and one starting on National Day on October 1 — and these were times of peak travel in the country. However, the government cut back several days from Labor Day’s golden week starting in 2008, replacing it with three new public holidays on traditional festival dates.
Analysts said that domestic tourism industry agents in Sichuan will incur greater losses than national tourism companies, such as Shanghai Spring International.
Tourism plays an essential role in the economic development of the province, accounting for more than 8 percent of the GDP.
Popular destinations included the Jiuzhaigou Valley, giant panda sanctuaries and Mount Emishan.
But despite recent setbacks, analysts and industry insiders remain confident in the long-term prospects of the Chinese travel industry.
The negative impact of natural disasters is temporary. In the long term, China’s travel industry will continue to experience rapid growth driven by rising income. We will not change our long-term assessments of this industry.
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