Thailand's tourism industry along the Cambodia border is teetering on the brink of financial ruin as escalating tensions have triggered booking cancellations of 80-100% across affected provinces, according to official government assessments.
The Tourism Authority of Thailand (TAT) has released a comprehensive impact analysis covering the period from 25-28 July, revealing the devastating effect of border hostilities that began escalating in early May on the country's vital tourism sector.
TAT Governor Thapanee Kiatphaibool described the psychological toll on travellers, stating that border tensions have created deep uncertainty amongst tourists who are now avoiding or cancelling planned trips to affected regions entirely.
Complete Shutdowns in Border Areas
The eastern province of Sa Kaeo has experienced the most severe impact, with 100% cancellation or postponement rates in Aranyaprathet district, which borders Cambodia directly. Even Sa Kaeo's inland areas have seen 80% of bookings cancelled or deferred.
Neighbouring Chanthaburi province has recorded 80% cancellation rates across its tourist destinations, whilst Trat province has seen complete cancellations in all border-adjacent areas.
The popular island destinations have also suffered significant losses, with Ko Chang experiencing 10-30% cancellations, Ko Mak losing 20-30% of bookings, and Ko Kood facing the steepest decline at 50-60%.
Northeastern Provinces Devastated
The impact has spread deep into Thailand's northeastern region, with Ubon Ratchathani province seeing 100% cancellation of tour group accommodations. However, the province has seen a 70% occupancy rate from donors and media personnel covering the crisis.
Surin province has lost 80% of tour group bookings, though it maintains 50% occupancy from relief workers and journalists. The province has also postponed its planned Enduro motorcycle racing championship.
Sisaket province faces complete tour group cancellation, whilst Buriram has lost approximately 70% of its hotel bookings. Major tourist attractions have closed entirely, including the historic Phanom Rung temple complex, whilst Chang International Circuit has postponed all scheduled racing events.
Government Response and Safety Measures
TAT offices in affected provinces—Ubon Ratchathani, Surin, Sa Kaeo, Chanthaburi, and Trat—have issued public advisories identifying high-risk border areas and urging tourists to avoid these zones entirely.
"We have established tourist assistance centres in affected areas with special security measures from government agencies and the Royal Thai Army," Thapanee confirmed.
The tourism authority monitors the situation weekly, tracking developments through regional TAT offices in the northeast and east, overseas offices, and various media channels to assess the conflict's expanding impact.
Hotel Industry Survey Reveals Mixed Picture
The Thai Hotel Association conducted a survey of 24 hotels on 30 July, revealing that 4,085 room nights had been cancelled since 24 July, with 1,881 of these directly attributed to the border situation. Thai tourists represented the largest cancellation group, followed by other Asian visitors.
However, the survey also recorded 6,835 new bookings during the same period, suggesting some resilience in non-affected areas.
Bangkok, represented by four surveyed hotels, saw 1,533 total cancellations since 24 July, with 330 directly related to border tensions. The capital recorded 2,010 new bookings, indicating tourist diversions to safer areas.
Chiang Mai's six surveyed hotels reported 1,058 total cancellations, with 1,031 attributed to border concerns, but gained 1,244 new reservations. Phuket experienced 503 cancellations overall, with only 63 related to the conflict, whilst securing 877 new bookings.
Border Provinces Face Severe Losses
Chanthaburi, closest to the conflict zone, suffered complete border-related cancellations totalling 334 room nights with only 76 new bookings—highlighting the stark contrast between affected and safe regions.
Other provinces showed varied impacts: Nakhon Ratchasima recorded 308 total cancellations with 100 border-related, but gained over 1,600 new bookings. Coastal Rayong province, with one surveyed hotel, saw 87 cancellations with none attributed to border tensions and 298 new reservations.
The tourism crisis represents a significant economic blow to Thailand's border regions, which have historically relied on cross-border trade and cultural tourism.
The conflict's psychological impact appears to extend far beyond the immediate danger zones, affecting tourist confidence across multiple provinces as visitors seek alternative destinations within Thailand's safer regions.
As the conflict continues with no clear resolution timeline, the tourism industry faces mounting pressure to adapt to prolonged instability whilst maintaining Thailand's reputation as a safe destination for international and domestic travellers.