Thailand's tourism in crisis: decline in international arrivals

Thailand's tourism in crisis: decline in international arrivals

Thailand's tourism is in serious crisis, reflected in a sharp decline in foreign arrivals. Especially in 2025, the numbers have fallen alarmingly, putting the future of the sector in question. Loud Travel and Tour World Thailand recorded a 7.45% decline in international tourists compared to last year. This development affects not only large cities such as Bangkok and Phuket, but also charming Chiang Mai, which has become increasingly popular and attracts significant numbers of visitors.

The reasons for this decline are varied. If visa policy changes in neighboring countries or there are geopolitical tensions, this has a direct impact on the decision-making of potential travelers. Particularly striking is the decline in arrivals from key markets such as China and Malaysia, which together account for more than 28% of international arrivals. In the first half of 2025, the number of foreign tourists fell by 4.66% compared to the previous year, a decline that also affects regions such as South Korea and India Bangkok Local reported.

Impact on Chiang Mai and the entire country

The impressive city of Chiang Mai, located in northwest Thailand, has historically been a magnet for tourists. But here too, hotel operators, retailers and providers of leisure activities are feeling the effects of the declining numbers. The tourism sector contributes almost 20% to Thailand's GDP; This means a lot depends on the industry's success, and the decline could put significant pressure on employment in the hospitality and transport sectors.

In addition, the outlook for the rest of the year remains uncertain. According to Thai authorities, there is a plan to expand visa-free travel and launch various marketing campaigns to revive interest. Digital transformation is also an important component in order to meet the demands of modern travelers. The need to regain tourists' trust was also expressed by Tourism and Sports Minister Sorawong Thienthong emphasized.

A look into the past and the future

As a reminder, before the COVID-19 pandemic, Thailand recorded nearly 40 million foreign tourists in 2019. Looking back at the development of the tourism sector, sales of only 6.78 billion euros were achieved in 1995; this figure increased to 57.5 billion euros in 2019, which corresponded to around 12% of GDP. These historical trends show how quickly declines in visitor numbers can go downhill and the importance of addressing structural issues within the industry, which the Thai Hotels Association (THA) says is urgently needed.

In summary, it appears that Thailand, including popular tourist destinations such as Chiang Mai, will have to face some challenges to maintain its attractiveness as a tourist destination. Revitalization measures, a proactive PR strategy and last but not least the safety of travelers could be crucial to revitalize the tourist experience. While the crisis is having a profound impact, the hope remains that there will be a noticeable improvement by the end of the year - after all, it all depends on the global conditions that will shape arrival numbers Laenderdaten.info explained in summary.