Thai Tourism Tax Expected by End of 2025
Skift Take
Thailand’s tourism industry has begun the process of adhering to the European Union environmental regulations. They have until 2026 to adopt sustainable practices rapidly or risk being marginalized on the global state. EU’s Corporate Sustainability Due Diligence Directive mandates all businesses operating within the bloc ensure their supply chains adhere to strict environmental and human-rights standards. Thai tourism operators must vet their partnerships with European tour operators, travel agencies, and hotel chains diligently. Failure to comply could result in the loss of European partnerships, which would deal a blow to Thailand’s competitive edge.
CBRE’s latest Hotels Australia Overview and Outlook report suggests Australia’s hotel sector is nearing full recovery this year, driven by rising international arrivals, strong domestic demand and investment growth, despite supply challenges in Melbourne and Hobart. National occupancy rates sit at 71%, up 2% year on year, while ADR remains stable at A$240 and RevPAR is up 3.8% to A$171. 2024 brought year over year gains in Sydney, Brisbane, Perth and the Gold Coast with the last three the only markets to record pre-pandemic rates across all three performance indicators. International arrivals are now -13% below pre-pandemic levels with strong demand from China, Southeast Asia and India. Overseas travel is now slightly above pre-pandemic levels with Indonesia, New Zealand and Japan making up the top three destinations according to CBRE. Nationally, domestic travel spend is up 34% on pre-pandemic levels but year over year spending growth is only up 2% due to inflation. Transaction volumes slowed in 2024 with vendor/purchase price gaps, higher interest rates and barriers to finance contributing to investor caution. CBRE said that on the supply front, 1,800 rooms were added to the market with delays and pipeline shifts pushing some planned hotel openings to 2025. 56% of the new supply is in the premium market. There are 5,700 rooms under construction, set to open within the next two years. 31% will be in Melbourne and 29% in Sydney.
A tourism tax of 300 baht a person will go into force for foreign tourists to Thailand by the end of 2025, expected to come into play during Thailand’s high season. This is assuming the scheme is endorsed via publication in the Royal Gazette in March. This will follow the Thailand Digital Arrival Card coming into effect on May 1. By paying the tax, foreigners using a passport to visit Thailand will be able to access life and accident insurance.
Macau’s hotel occupancy rate rose by 3.9 percentage points in January, year on year, to 89.8%. This was despite the number of hotel guests declining by -4.7% to 1.3 million. There were 147 hotel establishments in January, up by six year-on-year but the number of rooms available has declined by -7% to 43,000 rooms. 5-star hotels’ occupancy rate was 92%, up 4.8 percentage points. The number of 5-star hotel rooms was down due to various renovation and upgrade works. The number of international guests as up 2.5% to 101,000 with Korea accounting for the highest amount at 35,000, up 12.4% year on year.
Centara Hotels & Resorts will enter new markets, unveil exceptional guest experiences and move confidently toward its goal to be “The Place to Be” for world travelers and be one of the planet’s top 100 hotel operators by 2027. Total revenue was up 12% in 2024 while net profit was up 43%. Following renovations completed at Centara Grand Mirage Beach Resort Pattaya and Centara Karon Resort Phuket in 2024, Centara will transform Centara Grand Beach Resort & Villas Hua Hin and Centara Life hotel in 2025. Centara Grand Beach Resort & Villas Krabi will close for a major transformation and upon completion will be relaunched as Centara Reserve Krabi, the second location worldwide for the brand concept. Centara intends to open nine new hotels and resorts this year. Next up will be the Centara Life Wisma Hotel Ratchaburi, to open at the end of March.
Hilton announced the signing of its first Signia by Hilton hotel in Asia Pacific, set to open in Jaipur, India. This follows the recent opening of Signia by Hilton Amman, the first Signia outside the US. The 216 room Signia Jaipur is set to open in 2028, developed in partnership with Sandeep Bakshi and Family LLP. The hotel will be located 28km from Jaipur International Airport and will include more than 2,250 square meters of event space. Rooms will include standard, executive suites and private pool villas. There will be a Club Signia lounge, artificial lagoon and four dining options along with a spa, fitness center, pools and a kids club.
Marriott’s St. Regis Hotels & Resorts announced the debut of the St. Regis Shenzhen Bao’an. The 51-story hotel has 289 rooms and suites, all with the St. Regis Butler Service offered. The hotel has four dining venues, the St. Regis Spa, including a fitness center which has a 25-meter infinity pool. Meeting facilities include the 696 square meter pillarless Astor Ballroom.
IHG Hotels & Resorts announced an agreement with Odate Royal Hotel Inc., a subsidiary of FET SYSTEM INC., to open ANA Holiday Inn Iwate Kitakami in Q#, 2025. This project marks IHG’s second collaboration with FET SYSTEM Inc., following the ANA Crowne Plaza Kumamoto New Sky. ANA Holiday Inn Iwate Kitakami currently operates as Hotel City Plaza Kitakami. The hotel will undergo an extensive renovation and conversion over the coming months with its 114 rooms to be upgraded and the Holiday Inn brand hallmarks will be embedded throughout, including the Open Lobby concept.
IHG also announced the opening of Holiday Inn Gurgaon NH8. The 137 room and suite hotel is located on the NH8 near Dwarka Expressway. Amenities include an all-day dining restaurant called The Palate, The Vault Lounge and Bar and Aquabella Pool Bar. Recreational facilities include an outdoor swimming pool and a fitness center. The hotel offers 9,000 square feet of banquet space.
Minor Hotels announced the expansion of its NH Hotels & Resorts brand in Bangkok, Thailand with the opening of NH Bangkok Asoke on March 1, 2025. The select-service hotel is the second NH-branded property in Thailand’s capital city, located 100 meters from the Asoke BTS SkyTrain and Sukhumvit MRT stations and a 40-minute drive from Bangkok’s two international airports. The 95 key hotel has rooms starting from 32 square meters. The hotel includes a fitness center, rooftop pool, all day dining outlet, lounge and poolside bar. The hotel was developed by the Narula family.