“Airfares Are Too Expensive to Even Consider Long-Distance Travel”… Overseas Travel Boom Has Slowed
June Outbound Travelers Reach 2 Million… Second Consecutive Month of Decline
Hana Tour Outbound Travelers Down 2%·Modu Tour Down 23%
Japan and China See Increases… Europe, the Americas, and the South Pacific See Declines
Expert: “Demand Shifting to Short-Haul Flights Due to Cost Concerns”
[Edaily Kang Gyeong-rok Travel Reporter] The number of South Koreans traveling abroad in June fell by 10% compared to the same month last year. Consequently, major package tour operators also saw a decline in their second-quarter passenger numbers. However, there were significant differences by destination, with the number of travelers to Japan and China increasing, while those to long-haul destinations such as Europe and the Americas decreased. According to the “June 2026 Korea Tourism Statistics” recently released by the Korea Tourism Organization, the number of South Korean outbound tourists in June was 2,004,723, a 10.0% decrease from the same month last year. This figure also represents a 14.3% decline from May. Compared to June 2019, the figure stands at 80.3% of that level.This marks the second consecutive month of decline, following a 2.1% decrease in May compared to the same month last year. A cumulative total of 14,961,910 South Koreans traveled abroad in the first half of the year. This represents a 2.7% increase compared to the same period last year and a recovery to 99.7% of the level seen in the first half of 2019. Although a monthly decline is evident, analysis indicates that the total number of outbound travelers for the first half of the year is close to pre-COVID-19 levels. [This image was created using AI technology.] Regional differences were also evident in travel agency performance. According to Hana Tour’s announcement, the number of outbound travelers in the second quarter was approximately 890,000, a 2% decrease from the same period last year. The number of customers using packaged tours also fell by 2% to about 450,000. In contrast, the number of independent travelers (FIT) purchasing air tickets and hotels rose by 10% to 1.11 million. However, the number of travelers to Japan and China increased. Hana Tour’s second-quarter packaged tour customers to Japan rose by 7% year-over-year, while those to China increased by 15%. Travel to Southeast Asia and long-haul destinations declined. Hana Tour cited the weak yen and expanded airline seat capacity for Japan, and China’s policies to attract tourists and expanded travel product offerings as factors driving the increase. The share of Japan-bound tours surpassed that of Southeast Asia for the first time since the second quarter of 2018. Looking at Modu Tour’s results, the decline was even more pronounced. The total number of passengers for package tours and air tickets combined in the second quarter was 223,511, down 23.1% from the same period last year. Package tour passengers fell by 13.7% to 168,603, while air ticket passengers dropped by 42.3% to 54,908. Modetour also saw growth only in travelers to Japan and China. The number of travelers to Japan rose by 26.5% year-over-year to 49,738, while those to China increased by 4.7% to 50,648. In contrast, Southeast Asia saw a 34.9% decline, and Europe fell by 29.8%. Travel to the Americas dropped by 49.5%, and to the South Pacific by 55.9%. The burden of travel costs is cited as one of the factors that drove the divergence in regional demand during the second quarter. Although international flight fuel surcharges in June were lower than in May, they remained higher than at the beginning of the year. In particular, the longer the travel distance, the greater the difference in surcharges, making the cost burden of long-distance travel relatively higher. Hwang Ji-won, an analyst at iM Securities, noted in a June report, “As the cost burden of medium- and long-haul travel increases due to persistently high oil prices and exchange rates, a clear preference for short-haul travel is emerging.” iM Securities observed at the time that while international fuel surcharges had fallen slightly from their May peak, they remained at a high level compared to the beginning of the year. The difference between package tours and independent travel is also pronounced. As confirmed by the earlier Hana Tour statistics, the number of package tour customers decreased by 2%, while the number of independent travelers (FIT) increased by 10%. This is interpreted as the result of increased sales of airline tickets and hotels, particularly for destinations in Japan and China. Short-haul trips also account for a high proportion of summer peak season bookings. According to an analysis by Modu Tour of packages booked by June 14 for departures between July 18 and August 8, China accounted for 27.4%, Southeast Asia for 24.3%, and Japan for 18.2%. Combined, these three regions make up approximately 70% of the total. Mongolia accounted for 12.1%, Europe 10.2%, and the Americas and South Pacific 6.4%. Mongolia posted the highest growth rate. During the same period, bookings for Mongolia rose 73.6% year-over-year, while those for China increased by 62.5% and Japan by 54.7%. A high proportion of bookings were for destinations with relatively cooler summer temperatures, such as Sapporo in Japan and Mount Baekdu in China. Professor Shim Chang-seop of the Department of Tourism Management at Gachon University analyzed, “Overall demand for overseas travel appears to have entered a brief lull,” adding, “However, the most notable characteristic of the recent overseas travel market seems to be the growing disparity in demand by region (short-haul vs. long-haul) and travel type (package tours vs. FIT) due to cost concerns.”
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