What the US travel ban means for the UAE aviation industry
The US government recently introduced a travel ban for some Middle Eastern nationals, as well as an electronics ban on flights from the Middle East to the US.
While this has been met with somewhat uproar across the region, the impact goes a lot further than just a bruised ego. The US was and always will be a key market for GCC travellers looking to visit some of the famous cities and avail of the cheaper shopping while they are there. However, with many upset with President Trump’s latest decisions, and the recent electronics ban meaning all large devices and laptops have to be kept in the hold rather in the cabin, travel to the States is looking less and less attractive.
According to some travel agents at this month’s Arabian Travel Market 2017, the interest in trips to the US from the UAE has already plummeted, with people instead turning to Europe or Asia for their getaways. So what does this mean for the UAE’s aviation industry?
Well, just this month Emirates announced reductions in US flight frequency, with some like the Dubai flights to Los Angeles, Boston and Seattle being cut by 50%. Although the likes of Etihad and Qatar Airways are yet to follow suit in reducing their flights, they are expected to have been hit by the US restrictions, with a decreased demand for seats.
Although this hasn’t been a complete blow for UAE airlines, with Etihad and Emirates instead turning their attention to other destinations around the world.
Outbound travel from the UAE is expected to hit AED157 billion by 2025. With the UAE airlines dominating a large share of the market, the fact that travellers are no longer looking for US trips will only mean they look elsewhere – this will not stop UAE outbound travellers from going abroad. As long as Emirates, Etihad and flydubai can encourage travellers to visit their other destinations, it seems that whatever the US does it will not affect UAE resident tourists too much.
As for the future of the US and travel in the Middle East, we will all have to wait and see what President Trump’s next move is.
Global Key Account Manager at CEVA
7 年Saeed the travel ban is not in effect.
2024 WINNER of 'Top Watch' Small Business of the Year
7 年Saeed, you failed to mention that the ban is not in effect, did not include GCC countries, and the economic engine that is driving the airlines to reduce flights that started more than a year ago.
Assistant Undersecretary - UAE Ministry of Economy
7 年A similar ban on US-Eurupe route is pending.