Impact of Martial Law on South Korea's Tourism Industry

Tourists dressed in traditional hanbok are seen moving through Gwanghwamun Square in Seoul. Recent developments following the declaration of martial law on December 3 have raised concerns about a downturn in the tourism sector. According to a survey conducted by Busan City and the Busan Tourism Organization, 40 tourism-related companies in Busan reported a significant number of reservation cancellations and inquiries related to cancellations across all sectors. The data indicates that bookings for tourism-related businesses are down approximately 65% compared to the first quarter of last year. Among the sectors, hotels experienced the highest rate of cancellations, followed by travel agencies, yacht services, and other facilities. Notably, 75% of the responding companies anticipate that the current situation will negatively impact their overall operations. Many cited ongoing unrest from protests and a decline in the country's reputation as primary concerns, fearing that prolonged issues could exacerbate the negative effects. In response, Busan Mayor Park Hyung-jun has sent letters to 95 companies across 15 countries and 51 sister cities, assuring them that Busan remains a safe and attractive travel destination. The letters emphasized the city's commitment to providing a comfortable and secure environment for tourists, along with information about major attractions, tourism programs, and festivals that continue to operate normally.