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Thailand's tourism in crisis: decline in international arrivals!
The article highlights the decline in international arrivals in Thailand, particularly in Phuket, and analyzes the causes as well as the impact on the economy. Passengers and geopolitics are heavily influencing tourism as the government works on sustainable solutions.
Thailand's tourism in crisis: decline in international arrivals!
The tourism industry in Thailand will face challenges that will become increasingly noticeable in 2025. The decline in international arrivals is not only impacting popular destinations such as Bangkok, Phuket, Pattaya and Chiang Mai, but could also have far-reaching consequences for the entire Thai economy. Loud Travel and Tour World the number of international visitors fell by 7.45% from January to mid-October 2025 compared to the previous year. This corresponds to around 25.65 million people, which is far below the figures for 2019, when Thailand recorded almost 40 million tourists.
Important markets such as Vietnam, Malaysia, China, South Korea, India and Russia are particularly affected. While Malaysia and China together account for over 28% of international arrivals, Thai authorities see factors such as geopolitical tensions, changes in visa policies and current global inflation as possible causes. These external influences have led to the forecast for tourist arrivals being reduced from the original 35 to 33 million.
An economic engine under pressure
Tourism is a key economic sector in Thailand, contributing almost 20% of gross domestic product. This highlights the importance of visitors to local businesses, which are exposed to minor or even acute losses. Balanced visitor numbers are necessary to stabilize not only the hotel industry, but also the retail and transport sectors. In terms of supportive measures, the Thai government plans to introduce new strategies to revive tourism, including the promotion of visa-free travel and increased marketing activities, such as Thailand Magazine reported.
In addition, there are efforts to reduce mass tourism and switch to sustainable tourism practices. After months of overcrowding in tourist hotspots, which often led to environmental damage such as the decline of coral reefs, the relationship with nature and culture has become more important. Stabilization is expected in 2024, with a target of 35 million international guests and a strengthening of domestic travel tourism, which is expected to contribute 504 billion baht to the economy.
Sustainability and local communities
A particularly critical issue is the “White Lotus Effect,” which describes the negative impact of tourism on local cultures and ecosystems. This is done by Sigma Earth where, among other things, the drastic rent increases in cities frequented by tourists are listed. To preserve the quality of life of locals, Thailand is increasingly adopting sustainable tourism strategies, which may also address the challenges of the enforcement process.
In an attempt to find the balance between economic growth and environmental sustainability, the government has launched initiatives to promote ecotourism and community-based tourism. The goal is clear: local communities should benefit from tourism revenue while protecting the environment.
Looking at the remaining months of the year, the outlook for tourism remains cautiously optimistic. The desire to increase international arrivals in the fourth quarter depends heavily on addressing existing issues. The road to revival could be difficult, but with the right strategy the chances for positive development are intact.