Wednesday, August 5, 2026
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HomeBusinessIran conflict rattles Thai tourism outlook

Iran conflict rattles Thai tourism outlook

Airspace closures and rerouted flights threaten 2026 visitor and revenue targets

BANGKOK, THAILAND – Airspace closures and flight cancellations across the Middle East following military escalation between Israel, the United States and Iran disrupted global flight plans and unsettled Thailand’s tourism ambitions for 2026.

Airspace closures leave travellers stuck

Thai tourism businesses warned that the Iran confrontation would inevitably hit Thailand as suddenly blocked airspace and cancelled flights broke up established routes.

“The Iran conflict would ‘inevitably’ affect Thailand’s tourism because closures and flight cancellations tear travel routes apart.”

said Thienprasit Chaiyapatranun, president of the Thai Hotels Association (THA).

Some tourists were already stranded in Thailand after their return flights were scrapped, while others could not even start their journeys to the country.

According to the association, the true scale of the disruption could only be assessed seriously after about a week of monitoring.

Middle East demand under pressure

The THA said travellers from the Middle East were among the most exposed, as they directly depended on airspaces that had been closed and routes that airlines had suspended.

Although it was currently low season for this source market, concerns grew over whether arrivals would return to normal during the key June–August travel period.

Members of the industry feared that prolonged instability in the region could further undermine confidence and weaken bookings into the peak summer months.

They also noted that uncertainty over onward connections might cause families to rethink long-haul holiday plans.

European routes re-routed, costs may rise

The sector also saw risks for European visitors, as many long-haul journeys to Thailand had used Middle Eastern hubs that might now require detours.

Airlines could be forced to adopt longer routes, which industry figures warned might push up airfares for passengers.

However, Thienprasit expected no severe slump during the current low season from Europe, because the continent’s main travel window to Thailand had already passed.

He still anticipated booking levels to remain above those recorded in the previous year, despite the renewed geopolitical tension.

Asian travellers may delay trips

Beyond the Middle East and Europe, tourists from other regions, particularly Asia, could also become more cautious if security worries spread.

The association warned that a growing perception of “unstable” travel conditions might prompt holidaymakers to hold back on immediate plans.

According to the THA, between 10 and 20 percent of travellers might postpone their trips initially rather than cancel outright.

It suggested that a future government in Bangkok should be ready to stimulate domestic tourism if international demand weakened.

Security fears and terrorism risk

Thienprasit identified the potential spread of terrorism as the most serious risk arising from the latest escalation.

“The possibility that terrorism could spread would dampen the desire to travel worldwide.”

said Thienprasit, warning of a broad hit to global tourism sentiment.

In response, tourism operators urged Thai authorities, including security agencies and immigration services, to make protective and control measures visibly stronger.

They argued that clearly enhanced screening and security would be critical to maintaining travellers’ trust in Thailand as a safe destination.

36 million visitors target under threat

Before the war in Iran, the THA had expected Thailand to surpass 36 million foreign arrivals in 2026, supported by a strong rebound from China.

During the Chinese New Year period, arrivals surprisingly reached about 30,000 per day, before settling at 16,000 to 17,000 per day the following weekend.

Industry representatives said the conflict now constituted an external shock that could jeopardise the goal of returning to pre-crisis volume.

They stressed that the uncertainty came just as confidence among Chinese travellers had begun to solidify again.

Tourism Authority counts on 3 trillion baht

The Tourism Authority of Thailand (TAT) set a 2026 target of 3 trillion baht in total tourism revenue, an increase of 11 percent over 2025.

Its plan envisaged 36.7 million international visitors generating 2 trillion baht, alongside 210 million domestic trips bringing in 1 trillion baht.

By comparison, industry data for 2025 showed 2.7 trillion baht in tourism receipts from 32.97 million foreign arrivals, while domestic tourism reached 202 million trips.

Officials and business leaders now questioned whether the new geopolitical risks would force revisions to those projections.

Hotel chains keep properties open and support guests

Gun Srisompong, chief financial officer of Central Plaza Hotel PLC., said the group’s Centara brand closely monitored the situation and coordinated with authorities.

He reported that all Centara properties in the UAE, Qatar and Oman remained open and fully operational despite the regional tensions.

“Guests who could not continue their journeys for reasons beyond their control would be supported with extended stays in line with official guidelines.”

said Gun, outlining measures to assist affected travellers.

Minor Hotels also reported that its own Gulf properties were open and that security measures were being treated as a priority.

Both companies emphasised that they aimed to keep guests safe and housed until normal travel options resumed.

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