"Full Refund Measures" Sighs Over 'Dubai'... Direct Hit from Middle East Risk [US-Iran War]

Short-Term Refunds for Middle East Packages Departing by Weekend

Searching for Return Flights for Stranded Travelers

Possible Impact on Mid- and Long-Haul Layover Routes

Close Monitoring of Potential Crisis Prolongation

In the wake of the war triggered by airstrikes on Iran by the United States and Israel, Korean outbound (overseas travel by domestic residents) travel agencies are acting swiftly. They are canceling package reservations for regions such as Abu Dhabi and Dubai in the United Arab Emirates (UAE), and Doha in Qatar, which have served both as destinations for Middle Eastern travel demand and as transit points for travelers heading to Europe. Agencies are also coordinating return flights for customers stranded locally. Since these disruptions could affect the sales trends of mid- and high-priced travel products that include long-haul flights, the industry is closely monitoring whether the current crisis will be prolonged.

As tensions in the Middle East sharply escalate with the death of Iran's Supreme Leader due to attacks by the United States and Israel, flights from Incheon Airport to Dubai scheduled for the 1st are being canceled. Yonhap News Agency

According to the industry as of March 3, Hanatour has canceled reservations for travel packages to Dubai and Abu Dhabi departing from Incheon International Airport through March 10, and will soon decide whether to operate products scheduled to depart after that date. A Hanatour representative said, "Many parts of the Middle East have already been designated as areas to avoid or exercise caution, so demand for these regions has been limited to specific areas such as the UAE. For customers already in the region, we are discussing with airlines the possibility of returning directly to Korea through neighboring regions such as China or Southeast Asia. Decisions regarding future local product operations will be made after monitoring the situation."

Modetour and Kyowon Tour also plan to offer full refunds for packages that transit or visit Dubai, Abu Dhabi, and Qatar for departures through March 8. Separately, they are searching for return flights for travelers stranded in Dubai due to the current situation. An industry source stated, "We plan to guide travelers to regions where they can return home by traveling overland to airports that are still accessible." While cancellations are possible for package tours planned and sold by outbound travel agencies in the event of unexpected situations such as war, travelers who have booked flights or local accommodations individually (FIT: Free Independent Travelers) will likely incur some cancellation fees.

Tensions in the Middle East are rapidly escalating following an attack by the United States and Israel that resulted in the death of Iran's Supreme Leader. As of the 1st, flights departing for Dubai from Incheon Airport have been canceled. Yonhap News Agency

The industry is closely monitoring whether the crisis will affect the rising demand for overseas travel as the spring outing season approaches. During the Lunar New Year holidays last month, Modetour's overseas package booking rate rose by 30% year-on-year, while Hanatour, Yellow Balloon, and Kyowon Tour also saw double-digit increases of 15-25%. Currently, demand for short-distance products, especially those to Japan and China, is significantly higher, but for the Americas and Europe, mid- and long-haul routes via the UAE and Qatar have served as hubs, lowering overall package prices.

An industry official commented, "For destinations in Western Europe such as Spain, Portugal, and southern France, many packages include connecting flights via Middle Eastern airlines rather than direct flights. While it is possible to secure alternative routes to these destinations, an increase in sales prices will be inevitable."

On this day, the domestic stock market was directly hit by Middle East risks stemming from Iran, and major listed travel companies were no exception. The share prices of Very Good Tour (5,410 won) and Hanatour (44,900 won) fell by 7.68% and 6.65% respectively from the previous trading day, while Modetour (12,080 won) and Yellow Balloon (4,880 won) also declined by more than 4% each.

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