THE IMPACT OF COVID-19 ON THE SOUTHEAST ASIAN TOURISM INDUSTRY THE IMPACT OF COVID-19 ON THE SOUTHEAST ASIAN WEEKLY SUMMARY TOURISM 31 JAN 2021 Hannah Pearson INDUSTRY [email protected] INTRODUCTION As a market highly dependent on both Chinese outbound tourism and the Chinese economy, Southeast Asia is a region which was heavily affected by COVID-19 even in the early months of 2020. With the declaration of a pandemic, as well as the closing of borders and imposition of lockdowns, Southeast Asia’s tourism economy will continue to be impacted for the foreseeable future. View this information online and more on our frequently updated dashboard at: https://www.pearanderson.com/coronavirus/ Sign up to be added to our weekly mailing list, with this report sent out every Sunday: https://insights.pearanderson.com/sea-covid-summary THE IMPACT OF COVID-19 ON THE SOUTHEAST ASIAN TOURISM INDUSTRY IMPACT SUMMARY Week ending Sunday 31st January 2021 INBOUND TRAVEL OUTBOUND TRAVEL COUNTRY LOCKDOWN RESTRICTIONS RESTRICTIONS CASES DEATHS Cambodia None Visa restrictions Discouraged 465 0 Indonesia Partial Restricted Permitted 1,078,314 29,998 Laos None Visa restrictions Discouraged 44 0 Malaysia Partial Visa restrictions Restricted 214,959 760 Myanmar Partial Visa restrictions Discouraged 139,864 3,125 Philippines Partial Visa restrictions Permitted 525,618 10,749 Singapore Partial Visa restrictions Restricted 59,536 29 Thailand Partial Quarantine Flight restriction 18,782 77 Vietnam None Visa restrictions Flight restriction 1,812 35 Data accurate as of 21:01 (UTC+8) on 31 Jan 2021 Partial lockdown = closure of schools or some non-essential services (e.g., entertainment), recommendation to work from home Lockdown = closure of all non-essential businesses, restricted movement COVID-19 case & death statuses from John Hopkins Coronavirus Resource Center VACCINE SUMMARY Week ending Sunday 31st January 2021 TYPE OF VACCINE % OF POP ESTIMATED COUNTRY Secured or In Talks DOSES SECURED COVERED ROLL-OUT SOURCES COVAX, China; Sputnik V, India, Cambodia 20 mil 60.6% Feb 2021 1, 2, 3, 4, 5, 6 AstraZeneca AstraZeneca, Sinopharm, Sinovac, Indonesia Merah Putih, Novavax; Pfizer, ~ 329 mil ~ 61% Started 1, 2, 3, 4, 5 Sputnik V Laos COVAX, Sinopharm, Sputnik V Not Available 20% Started 1, 2 Pfizer, China, AstraZeneca, COVAX, 1, 2, 3, 4, 5, 6, Malaysia Sputnik V; Moderna, Johnson & 56.2 mil 88% Mar 2021 7 Johnson Myanmar COVAX, Covishield, China 30 mil 28.03% Started 1, 2, 3, 4 COVAX, AstraZeneca, Covovax, 1, 2, 3, 4, 5, 6, Philippines Sinovac, Moderna; Sputnik, Pfizer, ~132.5 mil 61% Feb 2021 7, 8, 9 Novavax, Johnson & Johnson Singapore Moderna, Pfizer, Sinovac, local Not Available 100% Started 1, 2 Thailand AstraZeneca, Sinovac, local 64 mil 46% Feb 2021 1, 2, 3, 4 AstraZeneca, COVAX, Sputnik V Vietnam 50-150 mil 26-78% Q1 2021 1, 2, 3, 4 local; China, Pfizer Data accurate as of 20:56 (UTC+8) on 31 Jan 2021. Sources: Various Pear Anderson Sign up for weekly updates 31 Jan 2021 Update https://www.pearanderson.com/coronavirus/ THE IMPACT OF COVID-19 ON THE SOUTHEAST ASIAN TOURISM INDUSTRY Cambodia’s international arrivals drop to 1.31 million in CAMBODIA 2020, down 80% YoY. On Page 4 • 9 million domestic tourists travelled in 2020, • Cambodia Association of Travel Agents urges down just 20% YoY government to take more action Tourism Minister says Indonesia unlikely to achieve its INDONESIA 2021 target of 4-7 million international tourists. On Page 12 • Riau Islands hope for travel bubble with • 179k vaccine doses have been administered as of Singapore 25 Jan Champassak and Oudoxmay provinces see drops in LAOS visitors of -90% YoY and -40% YoY. On Page 25 • Vaccinations for over 600 medical workers in • Vat Phou festival in Champassak province Vientiane started downsized Luxury 5* Equatorial Penang hotel closes doors, MALAYSIA Shangri-La Penang hotels offer voluntary redundancy. On Page 30 • Agreement for 12 million Sinovac, 6.4 million • Singapore suspends RGL agreement with Sputnik V doses signed Malaysia Vaccination drive begins in Myanmar with frontliners, MYANMAR politicians. On Page 48 • Suspension of visa issuance extended until 28 • Political tensions escalate before reconvening of Feb parliament Travel ban on inbound passengers from countries with PHILIPPINES the new COVID-19 variant lifted from 1 Feb. On Page 56 • 2020 GDP contracts by 9.5%, worst drop in • Metro Manila to remain under General history for the Philippines Community Quarantine in Feb RGL arrangements with Malaysia, Germany and South SINGAPORE Korea suspended for 3 months from 1 Feb. On Page 71 • 3,000 hospitality workers have now received the • 2020 international arrivals just 2.74 million, vaccine -85.7% YoY Thailand eases restrictions for majority of country; TCT THAILAND warns additional 1 mil tourism workers could lose jobs. On Page 90 • 2020 international arrivals drop -83% to just 6.7 • EXIM Bank to propose soft loans for aviation million sector to Finance Ministry New resurgence of locally transmitted cases threatens VIETNAM Tet holiday season. On Page 114 • Vietnam’s Jan international arrivals up 9% MoM, • HCMC will focus on digitalisation and domestic down 99.1% YoY tourism promotion in 2020 Pear Anderson Sign up for weekly updates 31 Jan 2021 Update https://www.pearanderson.com/coronavirus/ THE IMPACT OF COVID-19 ON THE SOUTHEAST ASIAN TOURISM INDUSTRY CAMBODIA 2020 international arrivals drop to 1.31 million, -80% YoY. TRAVEL All visa exemptions, visas on arrival and e-visas are suspended. Travellers must RESTRICTIONS have valid medical certificates issued 72hrs prior to travel, proof of medical insurance worth up to $50k USD, be tested for COVID-19 upon arrival and undertake a 14-day quarantine with a re-test on the 14th day. They must deposit $2,000 USD on arrival (IATA). LOCKDOWN Public schools to reopen on 11 Jan. Museums, cinemas have reopened. STATUS YoY Weekly change in flight search or booking volume for travel to Cambodia Source: Sojern COVID-19 dashboard TRAVEL BUBBLES & INTERNATIONAL BORDERS NEW 29 Jan: The Chinese government has told its citizens not to gamble in Cambodia >> 23 Jan: The government has confirmed that vaccinated travellers will still need to undergo quarantine in Cambodia >> 21 Jan: Cambodia and India have agreed to start direct flights and promote closer tourism links >> 15 Jan: Cambodia will launch the Global Travel Assessment System (GTAS), to allow better border security and identify high-risk air travellers before they enter the country >> Pear Anderson Sign up for weekly updates 31 Jan 2021 Update https://www.pearanderson.com/coronavirus/ THE IMPACT OF COVID-19 ON THE SOUTHEAST ASIAN TOURISM INDUSTRY 14 Jan: Japan has suspended its Business Track and Residence Track programs to allow overseas business travellers to visit the country, including from Cambodia, Malaysia, Myanmar, Singapore, Thailand and Vietnam >> 12 Jan: The Win-Win Monument will once more open to visitors after being closed due to the pandemic >> 10 Jan: Cambodia plans to launch a travel bubble with Cambodia and ASEAN + 3 countries (including China, Japan and South Korea). The Tourism Minister has said that the details are still being worked out with the Ministry of Health and the private sector >> 14 Dec: Cambodia will not shorten its 14-day quarantine >> 5 Dec: The foreign sponsorship of international arrivals will be postponed temporarily >> 30 Nov: All foreign and Cambodian arrivals must quarantine in designated government quarantine centres and will no longer be allowed to self-quarantine at home >> 13 Nov: From 18 Nov, foreign arrivals from China, Japan, South Korea, Thailand, Vietnam, the European Union and the US who have a sponsor must have a negative certificate within 72 hours of their departure, and have a test upon arrival. They must isolate in a hotel until the results are released, then will be permitted to leave after giving a planned schedule. Diplomats must also provide a certificate stating they are free of COVID-19 within 72 hours of their departure, have a test on arrival, and wait at least 24 hours at a hotel or quarantine for their results. Those foreigners who arrive without sponsorship must now stay in a government-designated hotel for a 2-week mandatory quarantine, and are not permitted to quarantine at home >> 29 Oct: The Pacific Asia Travel Association welcomes the idea of travel bubbles with China, but also urges the government to look at Vietnam and Thailand as partners too. The Cambodia Hotels Association and the Cambodia Association of Travel Agents are also both enthusiastic at the prospect of a travel bubble with China >> 3 Sep: The charges for the COVID-19 tests for foreigners on arrival to Cambodia will be reduced to $100 USD each, with the remainder of their $2,000 USD deposit being paid back 3 days after the 2nd test has a negative result >> 5 Aug: Cambodia has lowered the cash deposit to $2,000 USD for foreign travellers on arrival. Travellers must buy a local health insurance package which will cost $90 USD and be valid for 20 days >> Pear Anderson Sign up for weekly updates 31 Jan 2021 Update https://www.pearanderson.com/coronavirus/ THE IMPACT OF COVID-19 ON THE SOUTHEAST ASIAN TOURISM INDUSTRY VACCINE NEW 28 Jan: Cambodia expects 20 million vaccine doses, 11 million of which are through partners organisations and friendly nations. Phase 1 of 7 million doses is expected to arrive via COVAX, 1 million from Sinopharm and 3 million through an Australian grant. Its first 300,000 doses are expected to arrive on 1 Feb >> 22 Jan: Cambodia expects 500,000 people to be vaccinated before the Khmer New Year in April. 300,000 doses of Sinopharm should arrive in Cambodia in Feb. They are also in discussions on how to order more vaccines from China, as well as with India to obtain the Covaxin and Covashield vaccines and AstraZeneca.