Cambodia’s 13.8% Tourism Drop: How Will Airlines Like Vietnam Airlines and Hotels Like Park Hyatt Survive the Fall?

Published on December 25, 2025

Cambodia’s 13.8% drop in tourism has left many questioning how major players like Vietnam Airlines, Park Hyatt, and other key industry giants will navigate the fallout. As the country’s tourism industry faces unexpected challenges, travelers and industry leaders alike are bracing for the ripple effects on flights, accommodations, and experiences.

Cambodia’s 13.8% Tourism Drop: How Will Airlines Like Vietnam Airlines and Hotels Like Park Hyatt Survive the Fall?

Cambodia, once one of the fastest-growing tourist destinations in Southeast Asia, is facing a significant setback in 2025. The country has seen a 13.8% drop in international tourist arrivals, leading to ripples across its tourism sector. With the aviation and hospitality industries bearing the brunt of this decline, many wonder how major players like Vietnam Airlines and Park Hyatt will cope with the downturn. As travelers continue to evaluate their destinations for 2025 and beyond, understanding the effects on Cambodia’s tourism industry becomes crucial. Let’s dive into the implications of this drop and explore how airlines and hotels are adjusting to these challenging times.

The Impact of Cambodia’s 13.8% Decline in Tourism

Cambodia’s tourism sector, which has long been a pillar of the economy, has been hit hard in 2025, recording a sharp decline in international arrivals. According to government reports, the country welcomed just 5.17 million international visitors in the first 11 months of 2025, down by 13.8% compared to the previous year. While there are various factors contributing to this drop, such as regional economic slowdowns and increased competition from neighboring destinations, it’s clear that the decline is deeply affecting airlines and the hospitality industry. These sectors depend heavily on tourism and are now navigating uncharted waters as they seek new strategies to maintain their market share.

This decline has been particularly felt in Southeast Asian tourism, as Vietnam, Thailand, and China have historically been the largest contributors to the country’s tourist arrivals. While Vietnam still maintains its position as one of Cambodia’s top source markets, arrivals from Thailand have plummeted by over 40%, and Chinese tourist numbers, while growing, are not enough to offset the decline from other regions. Airlines and hotels that once thrived on the steady influx of tourists from these countries are now grappling with how to adjust to this new reality.

How Will Airlines Like Vietnam Airlines and Other Major Carriers Survive the Drop?

Airlines like Vietnam Airlines, Thai Airways, and Cambodia Angkor Air have been among the primary carriers bringing tourists to Cambodia. With Cambodia experiencing fewer international arrivals, these airlines are seeing fewer bookings and canceled flights, which directly impacts their profitability. Air travel accounts for a significant portion of Cambodia’s tourism, and with fewer travelers flying in, the airlines are having to rethink their strategies.

One major shift has been the increase in air arrivals compared to land-based travel, as Cambodia’s borders with neighboring countries see fewer crossings. As fewer tourists travel by land from Thailand and Vietnam, airlines are benefiting from increased bookings for direct flights into major hubs like Phnom Penh International Airport and Siem Reap International Airport. For example, flights from Vietnam Airlines and Thai Airways have been redirected to more international routes, with a focus on long-haul flights from regions like Europe and the Middle East.

Despite this shift, however, the overall decline in passenger numbers is still concerning for the aviation industry. Many airlines are scaling back their operations to adapt to the reduced demand, with some canceling flights during off-peak seasons to reduce losses. Vietnam Airlines, for instance, has trimmed its services to Cambodia’s smaller airports, focusing primarily on high-demand routes such as Phnom Penh to Hanoi and Siem Reap to Ho Chi Minh City. The carrier has also introduced more discounted fare packages in an effort to maintain passenger numbers and keep their aircraft filled.

Flight Details for 2025: What Tourists Can Expect When Traveling to Cambodia

For tourists still planning to visit Cambodia in 2025, flight options are available from major international carriers, albeit at adjusted schedules and pricing. Flights from Vietnam Airlines and Thai Airways remain the most popular, with regular services connecting Hanoi, Ho Chi Minh City, and Bangkok to Phnom Penh and Siem Reap. Vietnam Airlines, in particular, continues to offer direct flights from Hanoi and Ho Chi Minh City to Phnom Penh, with average flight durations of 1 hour 30 minutes and 2 hours respectively.

For long-haul travelers, airlines like Cathay Pacific, Singapore Airlines, and Qatar Airways continue to operate flights to Cambodia, although prices may be higher due to the decreased demand. Qatar Airways offers a direct connection between Doha and Phnom Penh, while Singapore Airlines flies between Singapore and Siem Reap. For those flying from Europe, direct routes are available from major hubs like Paris, London, and Berlin, though passengers should expect to pay a premium due to the ongoing travel challenges.

Tourists planning to fly in 2025 are advised to book their flights well in advance to secure the best deals. Airline ticket prices may fluctuate as airlines adjust their routes and seating capacities, so it’s important to keep an eye on the latest offers. Additionally, travelers should stay updated on any travel advisories or health protocols that may impact their journey, as Cambodia, like many countries, continues to navigate the post-pandemic travel landscape.

How Cambodia’s Hotels Are Bracing for Impact

The hospitality industry in Cambodia, particularly its luxury hotel segment, has been feeling the effects of the decline in tourist arrivals. Major hotel chains like Park Hyatt, Shangri-La, InterContinental, and Sofitel have all reported declines in occupancy rates and bookings. Park Hyatt Phnom Penh, which has long been one of the city’s most sought-after accommodations, has had to adjust by offering special promotions and discounts to attract both international and local visitors. This includes bundled packages that include flights, airport transfers, and tourist experiences to entice travelers back.

Hotels in Cambodia are also focusing on the domestic market to make up for the loss of international tourists. As international travelers remain uncertain about when they will return, hotels are trying to capture the growing staycation market by offering discounts for Cambodian residents. This strategy, however, may not be enough to offset the massive loss of revenue from international guests.

Luxury hotels like Shangri-La and Sofitel are not only lowering prices but also introducing exclusive experiences and personalized services to appeal to high-net-worth individuals who are still willing to travel. These include private tours of Angkor Wat, luxury boat cruises along the Mekong River, and personalized wellness retreats at their in-house spas. The strategy is to create experiences that make the trip worthwhile for those willing to pay more, even during a downturn.

The local hotel industry is also witnessing the rise of budget accommodations, which are drawing more budget-conscious travelers. Guesthouses, backpacker hostels, and mid-range hotels are seeing more foot traffic as travelers seek more affordable options. This trend is helping to sustain Cambodia’s tourism ecosystem, although the luxury sector remains under pressure.

What Tourists Need to Know Before Visiting Cambodia in 2025

While Cambodia’s tourism industry faces challenges in 2025, it is far from being in crisis. For tourists planning to visit, there are still plenty of reasons to explore this beautiful Southeast Asian destination. Cambodia’s ancient temples, vibrant culture, and delicious cuisine remain major attractions. The world-famous Angkor Wat temple complex continues to be a must-see, and Phnom Penh offers a fascinating blend of history and modernity.

For those planning to visit, it’s important to be aware of the latest travel advisories and health requirements, as these can change depending on the evolving global situation. Many countries, including Cambodia, still have some COVID-19 protocols in place, such as mask mandates in indoor public spaces and requirements for health insurance.

Travelers should also be aware that Cambodia’s land borders with Thailand and Vietnam have become more restrictive, with the decline in border traffic impacting overland transport options. However, air travel remains the best way to reach Cambodia, with more flexible flight schedules and convenient connections to international hubs. For those traveling by air, make sure to check flight schedules regularly, as airlines may alter routes based on demand.

Travel Tips for Visiting Cambodia in 2025

1. Book flights early: With reduced flight frequency, booking in advance will help secure the best deals.
2. Stay flexible: Be prepared for changes in flight schedules and hotel availability.
3. Take advantage of promotions: Many hotels are offering discounted packages, so look for deals that include flights, transfers, and excursions.
4. Embrace local culture: Cambodia’s unique cultural experiences, such as traditional dance performances and street food tours, remain a significant draw.
5. Visit rural areas: Explore off-the-beaten-path destinations like Battambang and Kep, which remain relatively unaffected by the tourism decline.

Cambodia’s 13.8% drop in tourism is shaking the foundations of top players like Vietnam Airlines and Park Hyatt — but how will they survive this massive blow? Find out what this means for your next trip to Cambodia and why now might be the best time to travel!

Wrapping Up

While Cambodia’s tourism industry faces a challenging year in 2025, the destination remains full of opportunity for the savvy traveler. With discounted flights, affordable accommodations, and less crowded attractions, there’s never been a better time to visit the Kingdom of Wonder. Airlines like Vietnam Airlines and Thai Airways are adapting to the changes, and luxury hotels like Park Hyatt are reimagining the guest experience to keep travelers coming back. If you’re planning a trip to Cambodia, take advantage of the deals and explore a country that remains as enchanting and captivating as ever.