Weaker yen to cut Japan's summer overseas trips as fuel surcharges rise
JTB Corp. projects 2.17 million overseas trips, while household caution is also expected to reduce domestic summer travel.
- The number of Japanese traveling overseas this summer is projected to drop by 8.8% to 2.17 million due to a weaker yen and higher fuel surcharges.
- Travel to distant destinations like the United States and Australia is expected to decline, as fuel surcharges are forecast to exceed 60,000 yen in some cases.
- Holidaymakers are expected to favor closer, more affordable Asian destinations such as South Korea and Taiwan, which will account for about 80% of outbound trips.
- Despite fewer people traveling, the average spending for those who do go abroad is estimated to increase by 6.3% to 323,000 yen.
Cost pressures are expected to cool Japan’s summer travel season, with JTB Corp. forecasting fewer people heading overseas as a weaker yen and higher aviation fuel surcharges weigh on holiday plans.
The major travel agency said in survey results released on Thursday (2 July) that outbound travellers from Japan this summer are projected to drop 8.8 per cent from a year earlier to 2.17 million.
The broader summer travel market is also expected to shrink.
The number of people planning trips involving at least one overnight stay, including domestic journeys, is forecast to fall 4.6 per cent to 71.17 million during the 15 July to 31 August period, marking the first decline in six years.
Asia is expected to remain the main destination for overseas travellers, accounting for about 80 per cent of outbound trips.
Nearby locations with comparatively lower airfares, including South Korea and Taiwan, are expected to attract many Japanese holidaymakers.
By contrast, travel to the United States and Australia is forecast to decline, as aviation fuel surcharges added to airfares are expected to exceed 60,000 yen in some cases.
Those who do travel overseas are expected to spend more.
Average spending per outbound traveller is estimated to rise 6.3 per cent to 323,000 yen.
Domestic travel is also projected to weaken as households continue to curb spending.
JTB Corp. expects the number of domestic travellers to fall 4.4 per cent to 69 million, while average spending is forecast to increase 3.2 per cent to 48,500 yen.
The online survey covered 10,000 people aged 15 to 79. Of those, 2,060 respondents who said they would travel or were likely to travel during the summer holiday period were asked about their travel plans.
[Copyright The Jiji Press, Ltd.]
