Monday, May 27, 2024 Hawaii’s economy relies heavily on tourism, which accounts for nearly a quarter of its overall economic activity. This reliance is even more pronounced on the neighbor islands, where tourism’s impact is greater compared to Oahu. Historically, Japanese tourists have been the largest group of foreign visitors to Hawaii due to Japan’s proximity, numerous flight connections between Tokyo and Honolulu, and a strong Japanese economy.
However, the COVID-19 pandemic drastically changed this dynamic. Tourism from Japan has significantly declined, and the Japanese economy has been similarly affected. Despite this, the Hawaii Tourism Authority (HTA) continues to focus on Japan with targeted campaigns like “Beautiful Hawaii” and “Yappari Hawaii,” utilizing digital and TV advertising, social media, partnerships, and trade education.
HTA needs to shift its focus to diversifying Hawaii’s inbound tourism market. Relying on Japan, which remains uncertain, is no longer viable. In HTA’s 2022 Annual Visitor Research Report, it was noted that at its peak in 2019, Japan sent nearly 1.
6 million visitors to Hawaii. By 2022, this number had plummeted to fewer than 200,000, an 87% reduction. The rate of decline from 2020 to 2022 was 33.
4%. As of March 2024, Japanese tourist numbers are still down by 53% compared to pre-pandemic levels. Japan’s strict COVID-19 guidelines and travel measures have further weakened its economy.
The Japanese yen has depreciated, mak.