Royal Caribbean Cancels Israel from 2024 Cruise Itineraries Amidst Ongoing Conflict
Royal Caribbean Group has made the decision to remove Israel from its 2024 cruise itineraries due to the Israel-Hamas conflict. This move comes as the second major U.S. cruise operator to alter its plans in response to the escalating situation.
In an email sent to travel agents on Thursday, Royal Caribbean Group announced that it is modifying itineraries for its Royal Caribbean International unit, with adjustments made as late as October 2024. The cruise operator is taking this step after observing the sharp decline in travel across Israel and the Palestinian territories of Gaza and the West Bank. Not only international air carriers but also major cruise operators are now avoiding stops in top destinations like Jerusalem and Tel Aviv.
While Royal Caribbean Group did not provide any official comments regarding this decision, it did reveal to its investors last week that itineraries including Israel account for less than 1.5% of its capacity for 2024. Consequently, the cruise operator plans to redeploy the ship meant for sailing in Israel in 2024 to carry out cruises from Boston, Massachusetts.
Jason Liberty, the CEO of Royal Caribbean Group, acknowledged the uncertainty surrounding the length of the conflict during an earnings call on October 26. He highlighted that this uncertainty will significantly impact consumer preferences for the coming year.
Norwegian Cruise Line Holdings, a major competitor in the industry, informed travel agents earlier this week that it too will be removing Israel from its 2024 itineraries. It appears that other cruise operators are facing similar challenges and experiencing a rise in cancellations and a slowdown in bookings to the region near Israel, primarily in short-term reservations.
As of now, it remains uncertain whether the conflict will have any impact on the demand for cruises in the European region. Liberty mentioned that it is too early in the European cruise season to determine the exact influence of the ongoing conflict on consumer behavior.
In conclusion, Royal Caribbean Group’s decision to remove Israel from its 2024 cruise itineraries is a direct response to the Israel-Hamas conflict. With travel declining and major air carriers already halting trips to the region, cruise operators have been compelled to make necessary adjustments. As the conflict continues, it is yet to be seen how the consumer demand for cruises will evolve, especially in other regions heavily reliant on tourism.
