Fri, 23 Oct 2020

OTTAWA, Sept. 30 (Xinhua) -- Tourism spending in Canada plummeted 66.3 percent in the second quarter of 2020 due to continued travel restrictions and physical distancing measures against the DOVID-19 pandemic in the country, according to Statistics Canada on Tuesday.

It was over fourfold higher than the previous record drop, which was down 14.3 percent in the first quarter.

Tourism gross domestic product (GDP) dipped 66.4 percent in the second quarter.

The contraction in the tourism sector in the second quarter was six times larger than that of the economy-wide GDP, which was 66.4 percent versus 11.5 percent.

As a result, tourism's share of GDP fell from 1.8 percent in the first quarter to a record low of 0.6 percent in the second quarter, while its share of employment fell from 3.7 percent to 2.6 percent.

Tourism spending on transportation jumped 77.5 percent, contributing to almost one-half of the decline in tourism spending in the second quarter.

All forms of transportation that require close proximity of passengers collapsed, led by air with 94.9 percent, rail 88.5 percent and interurban bus 79.1 percent.

This left travel by passenger vehicle as the main alternative for tourists in the second quarter. Nevertheless, spending on vehicle fuel was down 51.6 percent.

Spending on accommodation nosedived 65.4 percent, while spending on non-tourism products such as groceries and clothing decreased 63.3 percent, and food and beverage services reduced 60 percent.

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