[UPDATED] Iran War Having Far-Reaching Effects on Travel and Tourism

Safety concerns arising from the war with Iran are causing ripple effects across the travel industry, from flights and tourism in the region to cruise and spring break travel globally.

The World Travel & Tourism Council estimates that the war is costing Middle East nations nearly $600 million a day in lost tourism revenues, while Oxford Economics estimates regional tourism could suffer a $56 billion hit.

Airline flights — both those serving destinations in the Middle East and those transiting regional hubs such as Dubai International Airport and Hamad International Airport — have plummeted.

Flightradar24.com, for example, noted that Emirates operated 527 flights on Feb. 24, just before the war started; on March 10, that number had dropped to 309. Etihad Airways, Qatar Airways and other regional airlines saw similar cutbacks in flights.

Cruise Itinerary Disruptions and Spring Break Travel Concerns

The outbreak of war with Iran resulted in about 15,000 cruise ship passengers being stranded in Middle East waters. Cruise lines, including MSC Cruises and Celestyal Cruises, cancelled sailings in the region and organized evacuations of passengers.

In a March 17 notice, all guests safely disembarked from Celestyal Discovery in Dubai and Celestyal Journey in Doha. As a result, the March 27 (3-night) and March 30 (4-night) Iconic Greek Islands sailings aboard Celestyal Discovery have been canceled. 

The effects of the war are also being seen far from the combat zone. Brian Tyrrell, Ph.D., a Professor of Hospitality, Tourism and Event Management at Stockton University, told CBS News that high gas prices are likely to cause domestic vacationers to take shorter and closer trips; jet fuel prices are also expected to drive up the cost of air travel.

Alongside recent violence in Mexico, worries about the Iran war have also had an effect on spring break bookings, with Lauren Gumport of Faye Travel Insurance estimating that cancellations of spring break trips are running 60 percent higher than normal, ABC News reported.

Tyler Hosford, Security Director at global risk mitigation company International SOS, told USA Today that Mideast tensions are having an impact on spring break travel to Africa and South Asia, in part because many flights to those destinations transit airports in the Middle East. Travel to Europe, East Asia and Australia is less affected, he said.

Mexico spring break trips are more affected by drug cartel violence than the Iran war, but some travelers have shifted plans to take spring break trips to the Caribbean or to other parts of the U.S. instead. Still, spring break travel costs are expected to surge alongside fuel prices as a result of the war.