G.1 A Study on Developments in the Global Cruise Industry, 2020–2021: The Cruise Industry Making Active Efforts to Resume Cruise Sailings Following the Severe COVID-19 Shock

Abstract

The COVID-19 pandemic has exerted huge impacts on the global economy. The environment-sensitive cruise tourism industry, in particular, has suffered heavy losses. All parts of the cruise industry chain, from cruise companies to cruise ports, and to suppliers, travel agencies, and relevant businesses, were brought to a halt. Due to the pandemic, cruise companies had to keep adjusting capacity layouts in light of the COVID-19 protocols of different countries or territories. Cruise companies also actively responded to the crisis by various means of financing, such as selling shares, which led to better capital and fleet structures. The impact of the pandemic on the cruise industry is temporary, without any underlying influence on its development landscape. The cruise industry is still resilient. Cruise operations are the hardest hit by the pandemic. The cruise industry will face technical adjustments, and the public health and epidemic response system on cruise ships will be improved. As COVID-19 developments turn better and vaccination rates continue to rise, cruise operations will go back on track over time. However, there will be a tough adjustment period of at least two years. The cruise industry is expected to return to pre-COVID levels in 2024 or 2025. With the reopening of cruise sailings over time, the cruise industry will resume normal operations.