Japan to Resume Tourism in June; Only Packaged Tour for Now

Tourists in traditional Japanese kimonos walk in Asakusa district in Tokyo, July 27, 2020. (AP)
Tourists in traditional Japanese kimonos walk in Asakusa district in Tokyo, July 27, 2020. (AP)
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Japan to Resume Tourism in June; Only Packaged Tour for Now

Tourists in traditional Japanese kimonos walk in Asakusa district in Tokyo, July 27, 2020. (AP)
Tourists in traditional Japanese kimonos walk in Asakusa district in Tokyo, July 27, 2020. (AP)

Japan will open its borders to foreign tourists in June for the first time since imposing tight pandemic travel restrictions about two years ago, but only for package tours for now, the prime minister said Thursday.

Beginning June 10, Japan will allow the entry of people on tours with fixed schedules and guides, Prime Minister Fumio Kishida said.

Tourists from areas with low COVID-19 infection rates who have received three vaccine doses will be exempt from testing and quarantine after entry.

Japan this week is hosting small experimental package tours from four countries, Australia, Singapore, Thailand and the United States. That experiment, which involves only 50 people who received special visas, not tourist visas, is to end May 31.

"Free and active exchange of people is the foundation of economy and society, as well as that of Asia’s development," Kishida told his speech at a Tokyo hotel Thursday.

Japan, while watching the infection situation, will gradually accept more tourists in stages to the level of arrivals before the pandemic, he added.

After facing criticism that its strict border controls were xenophobic, Japan began easing its restrictions earlier this year and currently allows entry of up to 10,000 people a day, including Japanese citizens, foreign students and some business travelers.

Japan will double the cap to 20,000 a day from June 1, which will also include package tour participants, said Makoto Shimoaraiso, a Cabinet official in charge of pandemic measures.

The scale of the package tours and other details will be finalized after officials evaluate the results of the current experimental tours, he said.

It will take some time before foreign visitors can come to Japan for individual tourism, Shimoaraiso said.

Japan this week also eased requests for mask wearing. While masks are still requested on public transportation, hospitals and other public facilities, people can take off masks outdoors where others are not around or talking. Despite the easing, most Japanese so far are seen sticking to wearing masks in public.

Japan’s tourism industry, hit hard by the border controls, is eager for foreign tourism to resume. COVID-19 infections have slowed in Japan since earlier this year and the government is gradually expanding social and economic activity.

Kishida said during a visit to London earlier this month that he planned to ease the border controls as early as June in line with the policies of other Group of Seven industrialized countries, but gave no further details.

Foreign tourist arrivals fell more than 90% in 2020 from a record 31.9 million the year before, almost wiping out the pre-pandemic inbound tourism market of more than 4 trillion yen ($31 billion).



Oil Edges Up on Strong US GDP Data

A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo
A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo
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Oil Edges Up on Strong US GDP Data

A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo
A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo

Oil prices were up slightly on Friday on stronger-than-expected US economic data that raised investor expectations for increasing crude oil demand from the world's largest energy consumer.

But concerns about soft economic conditions in Asia's biggest economies, China and Japan, capped gains.

Brent crude futures for September rose 7 cents to $82.44 a barrel by 0014 GMT. US West Texas Intermediate crude for September increased 4 cents to $78.32 per barrel, Reuters reported.

In the second quarter, the US economy grew at a faster-than-expected annualised rate of 2.8% as consumers spent more and businesses increased investments, Commerce Department data showed. Economists polled by Reuters had predicted US gross domestic product would grow by 2.0% over the period.

At the same time, inflation pressures eased, which kept intact expectations that the Federal Reserve would move forward with a September interest rate cut. Lower interest rates tend to boost economic activity, which can spur oil demand.

Still, continued signs of trouble in parts of Asia limited oil price gains.

Core consumer prices in Japan's capital were up 2.2% in July from a year earlier, data showed on Friday, raising market expectations of an interest rate hike in the near term.

But an index that strips away energy costs, seen as a better gauge of underlying price trends, rose at the slowest annual pace in nearly two years, suggesting that price hikes are moderating due to soft consumption.

China, the world's biggest crude importer, surprised markets for a second time this week by conducting an unscheduled lending operation on Thursday at steeply lower rates, suggesting authorities are trying to provide heavier monetary stimulus to prop up the economy.