HotelsMag March-April 2023 | Page 74

EASING OF INTERNATIONAL TRAVEL RESTRICTIONS LIKELY TO BOOST LODGING DEMAND
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EASING OF INTERNATIONAL TRAVEL RESTRICTIONS LIKELY TO BOOST LODGING DEMAND

Contributed by RACHAEL ROTHMAN , HEAD OF CBRE HOTELS RESEARCH AND DATA ANALYTICS and MATT MOWELL , SENIOR ECONOMIST AT CBRE ECONOMETRIC ADVISORS .

Visitors from China and Japan account for a sizeable share of international travelers into the U . S ., but in recent years COVIDinduced travel bans caused trans-Pacific travel to nearly halt . Last winter , the number of inbound travelers from China and Japan hovered around

5 % of 2019 levels . As restrictions have fallen away , notably the U . S . no longer requiring a negative COVID test beginning last June , travel from China and Japan has steadily increased .
The return of East Asian visitors will be a plus for the American hotels , especially in Hawaii , major
West Coast markets , and premier leisure destinations like Las Vegas and Orlando . In addition to the hotel market ’ s surprising resilience in recent quarters , we expect further demand growth , especially from visitors from China and Japan , as more travel restrictions ease .
Arrivals from Asia as a Percent of 2019 and total Overseas Arrivals
% of 2019 % of total Overseas Arrivals
30
25
20
15
10
5
In 2022 , Japan and China visitation as a % of overseas arrivals was 4.2 % down from 16.7 % in 2019
7.0 6.0 5.0 4.0 3.0 2.0 1.0
Jan 2022
Feb 2022
Mar 2022
Apr 2022
May 2022
Jun 2022
Jul 2022
Aug 2022
Sep 2022
Oct 2022
Nov 2022
Dec 2022
Arrivals as percent of 2019 Arrivals from Cina and Japan as a share of total overseas travelers
National Travel and Tourism Office
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