Japan-Russia tourism development projects grind to a halt in Vladivostok

By: 3 years ago

Hotel Okura Vladivostok, which has yet to open. Courtesy of Okura Nikko Hotel Management Co. via The Japan News/Asia News Network

TOKYO — Japan-Russia tourism development projects have stalled in the Russian Far East city of Vladivostok following Moscow’s military aggression in Ukraine.

Japanese airlines, hotels and other tourism firms have been forced to suspend operations, throwing the industry into turmoil.

Vladivostok has a population of about 630,000. The city was founded as a Russian naval outpost in 1860 and later became a terminus of the Trans-Siberian Railway.

In the latter half of the 19th century, the city forged strong links with Japan, and many Japan-related historical sites remain in the city today, such as the former Japanese Consulate General, a memorial to Urajio Honganji temple and the former Japanese quarter. The city is also infused with European culture and has been promoted as “the closest European city to Japan.”

Hotel Okura Co. had been planning to open its first Japan-style hotel in Vladivostok in late 2021, but was forced to shelve the project. “Work has stopped on the building’s interior and we can’t predict an opening date,” an Okura spokesperson said. Shipments to Russia have been suspended following economic sanctions and Okura cannot procure building materials and furniture.

The hotel, designed to have 221 rooms, a banquet hall and an indoor swimming pool, had been expected to attract a lot of Japanese tourists. Okura is concerned the hotel will have a low occupancy rate when it eventually manages to open.

The Vladivostok branch of leading tourism agency H.I.S. Co., meanwhile, is expected to remain shuttered for the foreseeable future. The branch opened in 2014 to help Russians travel overseas. Following expansion, it relocated in March 2020 with the aim of attracting Japanese tourists, but closed last autumn amid the novel coronavirus pandemic.

At one point, the branch was dealing with about 4,000 reservations each month. However, a staffer said the Russian invasion means it will be difficult to attract tourists this year.

Direct flights are unlikely to resume either. All Nippon Airways Co. and Japan Airlines Co. canceled their 2½-hour-long flights between Narita and Vladivostok airports due to the pandemic. The flights, which began in 2020, are expected to resume once the coronavirus has been contained.

“The aviation business is all about image,” a senior official of a major airline said. “It’s not easy to get things up and running again.”

Following a Japan-Russia summit meeting in 2016, Moscow relaxed visa requirements in 2017 for travel to and from the Russian Far East. This allowed travelers to obtain visas online, which helped boost Japanese tourist numbers.

According to the Japanese Consulate General in Vladivostok, about 29,000 Japanese tourists visited the Primorsky region — including Vladivostok — in 2019, up 90% from the previous year.

“Russia’s image has deteriorated significantly,” said Manabu Shimoyashiro of the Japan External Trade Organization (JETRO)’s overseas research department. “Tourism development is at a standstill for the time being, and the companies involved will have to review their projects.”