By Simona Kitanovska

Austria’s tourism industry is being hit by a wave of cancellations as conflict in the Middle East begins to ripple through the travel sector.

Hotels are already reporting that visitors from Arab countries, Israel and the Far East are pulling out of planned trips, according to the Austrian Hotel Association (OHV).

The impact is being felt most sharply in luxury destinations such as Vienna, Salzburg and parts of Tyrol — with high-end resorts particularly exposed due to their reliance on wealthy international guests.

Popular hotspot Zell am See, a favourite among Arab tourists, has been especially hard hit. Industry spokesman Martin Stanits said four- and five-star hotels there were “feeling it massively”, with some properties heavily dependent on these markets.

While Arab and Israeli tourists accounted for around 2.6 million overnight stays in Austria last year (2025) — less than two per cent of the total — their spending power means their absence is being felt far more acutely in key regions.

The downturn is also being driven by travel disruption, with routes through major Middle Eastern hubs like Dubai and Doha affected by the conflict.

Visitors from Asia are now facing longer, more expensive journeys to Europe, prompting many to rethink their plans altogether.

Stanits said: “We are already seeing declining numbers from the Far East,” warning that cancellations have already been recorded for the coming weeks — and even for the peak summer season.

Some travellers are reportedly abandoning trips altogether over fears they could become stranded abroad if the situation escalates further.

The uncertainty is also influencing Austrian holidaymakers, with many opting to ditch long-haul travel in favour of closer destinations.

Instead of flying to places like Japan, Australia or New Zealand via the Gulf, some are choosing shorter trips to countries such as Italy or Spain — or staying within Austria itself.

Industry figures estimate the shift could affect tens of thousands of travellers.

Adding to the pressure, rising energy costs and inflation are expected to drive up prices, raising concerns that tourists may cut back spending even further in the months ahead.