Thailand’s Tourism Crumbles Under The Weight Of Border Tensions, Leading To Record-Breaking Hotel Cancellations In Chiang Mai, Bangkok, Phuket And More

Published on August 1, 2025

The ongoing border conflict between Thailand and Cambodia has sent shockwaves through Thailand’s tourism sector, resulting in a significant wave of hotel cancellations across key provinces like Chiang Mai, Bangkok, and Phuket. The situation has worsened due to travel advisories issued by several countries, warning their citizens about the rising tensions. These advisories have severely impacted tourist confidence, particularly among those who rely on travel insurance, which is now harder to secure in light of the geopolitical unrest. As a result, the tourism industry is grappling with a sharp decline in bookings, especially in areas close to the border, further compounded by safety concerns among international travelers. The mounting cancellations are a direct reflection of the uncertainty surrounding the ongoing conflict, leaving the tourism sector in a precarious position.

The Thai Hotels Association reports more than 5,000 hotel bookings have been canceled since late July, with Chiang Mai and Bangkok experiencing the highest number of cancellations due to travel advisories undermining traveler confidence.

The ongoing border dispute between Thailand and Cambodia has increasingly disrupted Thailand’s tourism industry, leading to a surge in hotel room cancellations across several major provinces in the country. Since the escalation of tensions between the two nations, tourist destinations have felt the pressure, with a noticeable decline in bookings, especially in popular tourist hotspots.

The Thai Hotels Association (THA) recently shared alarming statistics that reflect the profound impact of this conflict. Chiang Mai, a leading tourist destination, has been the hardest hit, with a significant number of cancellations originating from both Thai and Asian tourists. The primary reason for these cancellations is not only the geopolitical instability but also the repercussions on travel insurance policies, which have deterred many from proceeding with their planned trips.

According to a survey conducted by the THA among its member hotels, the data revealed troubling figures. Since July 24, 2025, a total of 5,266 hotel room cancellations have been reported across nine provinces in Thailand. These cancellations stem from various factors, with the ongoing Thai-Cambodian border tension being a major contributing factor.

Breaking down the numbers by province, Chiang Mai has seen the largest number of cancellations, with 2,089 rooms affected. Following Chiang Mai, Bangkok has also faced a substantial impact, with 1,863 rooms canceled. Other provinces like Chonburi, Phuket, and Nakhon Ratchasima have also reported significant losses in bookings, though not as severe as in the aforementioned regions. The cancellations continue to spread to more areas, including Phang Nga, Surat Thani, Rayong, and Nong Khai, though at a relatively lower rate.

Despite the cancellations, the number of new bookings since the end of July stands at 6,835 room nights, surpassing the cancellations in raw numbers. However, THA president Thienprasit Chaiyapatranun pointed out that the rate of new bookings has been slowing down, indicating growing uncertainty among potential visitors. The situation is particularly worrying in provinces that share borders with Cambodia, as they have felt the brunt of the cancellations due to the proximity to the ongoing conflict.

A significant driver of this decline in bookings is the issuance of travel advisories by several countries, warning their citizens about the escalating tensions along the Thai-Cambodian border. These advisories create a ripple effect, as many travelers are required to have comprehensive travel insurance to enter Thailand. With the border dispute in mind, travelers are increasingly hesitant to book trips, fearing that their travel insurance policies may be voided or that they may face difficulties in the event of an emergency. This has contributed to a sharp decline in tourist confidence, particularly among those who were planning to visit Thailand in the near future.

The situation is further exacerbated by concerns over safety. Reports of incidents involving Chinese tourists being abducted by scam networks in parts of the ASEAN region have added to travelers’ unease. Although these incidents have not been directly linked to the ongoing border conflict, the overall atmosphere of instability has made tourists more cautious, particularly those from China. This heightened sense of insecurity has compounded the challenges faced by the Thai tourism sector, making it difficult to rebuild trust in the region.

The THA has expressed hope that the conflict between Thailand and Cambodia will be resolved swiftly, recognizing that a prolonged dispute could continue to damage the country’s tourism industry. The association is calling for government intervention and diplomatic efforts to bring an end to the unrest, which would help alleviate the negative effects on tourism. The resolution of this situation could potentially restore confidence in the region, encouraging travelers to resume their plans and help mitigate the significant financial losses faced by hotels and businesses.

The ongoing border conflict between Thailand and Cambodia has triggered a wave of hotel room cancellations across the country, with Chiang Mai and Bangkok being the most affected areas. The combination of travel advisories, the impact on travel insurance, and safety concerns has led to a marked decline in bookings, further affecting Thailand’s tourism sector. The industry remains hopeful that a swift resolution to the border tensions will help restore stability and attract tourists back to the country.