How Europe’s Tourism Industry Was Affected by the War in Ukraine


Italian President Bernabò Bocca hotel union Federalberghisaid it was concerned about rising energy costs in Italy in recent months. “Hotels are energy-intensive companies, open 24 hours a day, seven days a week,” he said. “The cost of energy has become a crucial component, a price the entire world is paying.”

Before the pandemic, tourism accounted for about 14 percent of Italy’s GDP, according to the country’s tourism ministry and Italy’s national tourism agency. ENITHe said more than 63 million foreigners traveled to Italy in 2019.

At a recent trade show, Italy’s tourism minister, Massimo Garavaglia, cited a February American travel sentiment survey by market research firm. MMDY GlobalOf the 4,500 people surveyed, 47 percent reported that they waited to see how the situation in Ukraine would develop before planning to visit Europe. “It’s clear this is going to be a drama if half the Americans don’t come to Europe,” he said.

However, other travel operators, both large and small, are still expressing their optimism for the upcoming season, despite concerns over the war and coronavirus. Last week, online travel agency Expedia announced a forecast for a strong summer in Europe, saying that search interest among US travelers looking to travel to the UK, Germany and France this summer has increased fivefold compared to the same period in 2020.

On the Costa Blanca, members of the local hotel industry have signed fixed-price contracts with tour operators that are likely to result in fewer cancellations. The main challenge for hotels will be managing rising costs and adapting to supply chain issues.

Mr. Cuenca, of Magic Costa Blanca, said he has yet to increase rates and fees at his hotels and expressed cautious optimism about summer after having already booked about half of hotel rooms for the season. “We will have to monitor inflation and we may have to adjust our rates to maintain our profit margins,” he said.



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