While the recent US tariffs may have a slight dampening effect on the global corporate travel market, this very disruption presents a significant opportunity for the Asia-Pacific (APAC) region to flourish.
“There are five APAC markets – China, Japan, South Korea, India, and Australia – in the top 15 business travel spending markets, making up a total of US$551.7 billion. Indonesia is also moving up quickly, and I think Singapore may surpass Thailand in the next few years,” Suzanne Neufang, CEO of Global Business Travel Association (GBTA), told TTGmice on the sidelines of the GBTA APAC Conference in Singapore.
She pointed out: “When there’s trade disruptions, there are opportunities for someone else. I think the business travel sector will be looking at enabling new partnerships, with or without the US.”
When asked if there has been a noticeable decline of inbound corporate travel into the US, according to GBTA research, government actions have not deterred most foreign companies from holding meetings in the US. However, 12 per cent of buyers outside the US said their company has cancelled meetings in the US, or have relocated meetings (14 per cent) or events (10 per cent) outside the US.
Neufang explained that the statistics are currently “heavily skewed toward Canadian reluctance”, and based on the recent GBTA’s Convention Supplier Summit in Denver, there has been no change in global attendance, she added. Neufang also expects the situation in US to stabilise soon, given that the FIFA World Cup will be taking place in the country in 2026.
Still, this small shift could be an opening for APAC destinations. “As APAC is a little bit concerned (about the situation), the region can tap onto this uncertainty and benefit from it by attracting more events here,” she explained. It helps that business travel professions are very resilient, as they are used to travelling even during uncertainty and disruptions, she adds.
GBTA is largely optimistic about APAC’s potential, and for the last three years, been the association’s fastest-growing region. Over the past two years, the GBTA office in Singapore has grown to five people, while the annual GBTA APAC Conference, has seen consistent year-on-year growth, and may soon outgrow the Raffles City Convention Centre location.
“We have just established Advisory Boards in India and China, and have done networking events in other APAC destinations like Japan. We also have a fairly large delegation from China this year at the GBTA APAC Conference.
“The conference itself isn’t just for Singapore anymore, but an international event,” Neufang stated.
