The April earthquake that struck Taiwan deals another blow to the tourism industry

As the owner of a bed and breakfast in Hualien County, Taiwan, Chen Ri Jia was accustomed to minor tremors that sometimes hampered her work. But this time, something felt different.

She said, “The shaking became stronger and lasted longer, and with the arrival of rescue vehicles, I felt afraid.” “We heard rocks falling everywhere and saw smoke and dust everywhere. There were huge landslides in front of us and behind us.”

After emerging from her home to survey the damage, Chen had just survived the 7.4 magnitude earthquake that struck Taiwan on April 3 — the largest quake to hit the island in 25 years.

“I have never witnessed such a strong earthquake in my life. It was really terrifying,” the 60-year-old said.

Chen Rei-jia, B&B owner in Hualien County, Taiwan.

Source: Jan Camensand Brumby

Now, survivors like Chen face a new challenge. Tourists canceled their trips en masse, and tour groups disappeared.

For many residents of Hualien City, which relies on tourism for 70% of its economy, the situation is quickly turning into an existential threat.

“It's terrible, there are no tourists,” Chen said. “Everyone is too afraid to come.”

Empty restaurants and canceled reservations

The brunt of the damage from the quake fell in Hualien County, which attracts millions of visitors annually to the soaring peaks and waterfalls of the main attraction, Taroko Gorge.

But now the mountain roads and walking trails leading into the gorge are once littered with rubble, and vast swaths of Taroko National Park remain closed.

A woman named Lai, who owns a restaurant near the entrance to the strait, said her previously full restaurant was now empty.

“We really hope that the national park will reopen, but if not, there is nothing we can do,” she added. “There seems to be no end in sight.”

Lai owns a restaurant near Taroko Gorge. “There seems to be no end in sight.”

Source: Jan Camensand Brumby

The damage to the area is also a problem for local tour guides like Liang Shiun-chu.

“Our usual tour package focuses on Taroko,” he explained. “Since the earthquake, all our reservations have been cancelled.”

Visits to tourist sites in Hualien have dropped by 85% since last year, according to local officials. Liang explained that some guides like him are now working as taxi drivers and are finding it difficult to make ends meet.

Tour guide Liang Shiun-chu drives a taxi to make ends meet. “Since the earthquake, all our reservations have been cancelled.”

Source: Jan Camensand Brumby

He added: “Business has declined to between 30% and 50% of what it was before.” “Many friends have left Hualien to work elsewhere because it is too difficult for our industry here. I have thought about moving to another province as well.”

These trends are reflected across tourism sectors, with the Hualien Hotel Association reporting that post-earthquake occupancy levels fell to just 5% – an observation echoed by Howard Yeh, manager of a local hotel.

Howard Yeh, manager of a local inn. “We just have to hang on and keep waiting.”

Source: Jan Camensand Brumby

“About 90% of foreign visitors to Hualien come specifically to Taroko Gorge. With this main attraction temporarily closed, Hualien is losing much of its appeal for tourists,” he said. “We just have to hang on and keep waiting.”

Despite the hopes of Hualien residents, local officials estimate that returning to pre-earthquake tourism levels could take years.

“It may take five to 10 years to fully recover,” Chang Chih-hsiang, general manager of Hualien's tourism department, told CNBC Travel.

Difficulty entering

To speed up the recovery process, local and national governments in Taiwan have introduced programs to support local businesses and encourage visitors to return. The government guarantees loans and subsidizes interest rates for local businesses that need loans.

From July, visitors to Hualien County will also be eligible for up to NT$1,000 (US$31) in accommodation subsidies, while tourism agencies will receive up to NT$20,000 (US$618).

Zhang Chih-hsiang, head of the Hualien Tourism Bureau, estimates that the region's tourism industry could take five to 10 years to fully recover.

Source: Jan Camensand Brumby

However, local residents are concerned that these measures may not be enough. Stephanie Zhang, president of the Hualien Hotel Association, said her organization expects, in a best-case scenario, hotel occupancy levels to return to 40-50% this summer.

Constant news coverage about the quake, social media clips of collapsed buildings and about 1,500 aftershocks that have struck Taiwan since the first quake have not helped restore travellers' confidence.

Even if visitors want to visit Hualien, getting to the county is more difficult than before. Zhang explained that about 70% of tourists arrive in Hualien from northern Taiwan, but the earthquake damaged the road linking the city to Taipei.

The road still operates at specific times of the day, and the county is still accessible by train and plane, but the damage has taken a heavy toll.

Chen said the Hualien Tourism Bureau is working to restore the city and promote Hualien as a safe tourist destination.

“If we do not reverse this trend and rebuild tourist confidence in Hualien, the loss is expected to reach about NT$15 billion by the end of the year,” he said.

Wide repercussions

The effects of the earthquake have reverberated far beyond Hualien's tourism sector. “Tourism is the lifeblood of Hualien,” Zhang explained.

When the tourism industry suffers, the rest of the region suffers as well.

Market vendor Cheng Wenchong explained that the markets, which usually serve locals, are suffering because locals are not making money. “If tourists don’t come, our business will suffer greatly.” Business has dropped by two-thirds, said Lin Ya Mei, a fish seller at the town's wet market.

Lin Ya Mei, a fish seller at the Hualien wet market.

Source: Jan Camensand Brumby

Despite this, Hualien residents hope that tourists will return soon, so that life can return to normal.

Standing in her empty restaurant at the entrance to Taroko Gorge, Lai Sui Er explained that she still believes in the future.

“If things don't work out here, we'll look elsewhere. If that doesn't work out, we'll find jobs. No matter how much we earn, as long as we can earn a living, we can get by.” By being frugal,” she said, wiping tears from her eyes.

“There is hope,” she said. “We'll find a way.”

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