"Japanese Tourists Once Shouted 'I Want to Go to Korea'... Now They Say 'No Thanks' — Here’s Why"

Summer Overseas Travel by Japanese Expected to Drop 8.8%
International Travel Costs Up 6.3% Year-on-Year

Weakest Yen in 40 Years Increases Travel Burden
South Korea Most Preferred Destination, Followed by Taiwan

With the value of the Japanese yen falling to its lowest level in nearly 40 years, it is expected that the number of Japanese people going overseas for summer vacation will decrease significantly.

According to Kyodo News on July 2, Japanese travel agency JTB forecasts that 2.17 million Japanese people plan to travel abroad between July 15 and the end of August, representing an 8.8% decrease compared to the same period last year.

As the weak yen continues, the number of foreign tourists traveling to Japan is reaching an all-time high. AI-generated image depicting Korean tourists visiting Japan. Getty Images

The decline in overseas travel by Japanese nationals appears to be due to the record low yen, which has increased the burden of overseas travel expenses. The value of the yen has fallen to around 162 yen per dollar, marking the lowest level in 39 and a half years since December 1986. In addition, the aftermath of the Middle East crisis has led major airlines such as Japan Airlines (JAL) and All Nippon Airways (ANA) to raise fuel surcharges, which has also had an impact. Kyodo News reported that this is the first time since the COVID-19 pandemic eased in 2023 that the number of overseas travelers from Japan has declined.

The value of the Japanese yen fell to around 162 yen per dollar, marking the lowest level in 39 and a half years since December 1986. Getty Images

The average overseas travel cost per person is expected to increase by 6.3% year-on-year to 323,000 yen (approximately 3.1 million won). South Korea (26.2%) ranked as the most preferred summer vacation destination, followed by Taiwan (16.2%). It is analyzed that nearby countries with relatively affordable airfare took the top spots. Meanwhile, only 10.4% of Japanese travelers chose China—a country with which Japan has had strained relations since the beginning of this year—as their destination, which is about half the usual level.

The demand for domestic travel among Japanese people is also not expected to increase. As high prices are leading to a tendency to reduce spending, not only overseas travel but also domestic travel is projected to decline. JTB expects that 69 million people will choose domestic destinations during this holiday season, marking a 4.4% decrease from last year.

The average overseas travel cost per person is expected to increase by 6.3% compared to the same period last year, reaching 323,000 yen (approximately 3.1 million won). Pixabay

On the other hand, as the weak yen continues, the number of foreign tourists traveling to Japan is reaching an all-time high. In response, local governments across Japan are introducing various measures to address overtourism.

For example, the city of Kyoto, a major tourist destination, raised the accommodation tax from a previous maximum of 1,000 yen (about 9,550 won) to a maximum of 10,000 yen (about 95,500 won) starting in March. The number of Japanese local governments that have introduced accommodation taxes has increased significantly from 17 at the end of last year to 62 currently. Kyoto is also reportedly considering a 'differential fare system' that would charge tourists about twice the amount that residents pay for bus fares, at 350–400 yen (about 3,344–3,822 won).

This content was produced with the assistance of AI translation services.