Tourism in the Crossfire: As political unrest brews in Bangkok, Pattaya businesses fear a new wave of cancellations and collapsing confidence. PATTAYA, Thailand – As Thailand stumbles into a new phase of political turbulence, with mounting protests, leaked diplomatic scandals, and growing calls for the Prime Minister to resign, stakeholders in Pattaya are watching nervously. For a city already reeling from soft tourism figures, slipping hotel revenues, and low-season blues, political instability may be the final blow that pushes local businesses over the edge. The beachside city thrives on predictability, peace, and confidence. But as images of protest camps in Bangkok make international headlines and the Thai government faces domestic and diplomatic fallout from a leaked phone call with Cambodia’s Hun Sen, foreign tourists—and investors—are growing wary. “All it takes is one travel advisory or bad headline overseas, and we’ll lose another month of business,” said a Pattaya hotel operator. “We’re just recovering from the pandemic, and now this?” According to the Thai Hotels Association, over half of hotel businesses expect revenue to decline in Q2 2025, with many reporting a 20% drop or more. Eastern region’s May hotel occupancy rate fell to 62.2%, with further dips projected for June as the city enters the traditional low season. And now, unrest in the capital could amplify the downturn. For international tourists, especially those from Europe or East Asia, political uncertainty is a red flag. Many remember the airport shutdowns of 2008 or the military coups of 2006 and 2014. Even peaceful protests can dent visitor numbers, as tour companies reroute itineraries and insurance companies flag risk zones. It’s not just tourists who are skittish. Investors and developers in Pattaya are also watching the situation unfold with growing concern. A volatile political climate could derail foreign direct investment, delay infrastructure projects, and tighten credit access—especially for Thai-owned SMEs trying to stay afloat in a slow season. “Confidence matters,” said an Eastern Seaboard property consultant. “Whether you’re building condos or running a tour agency, political noise makes everyone hesitate. In Pattaya, hesitation costs jobs.” The Thai government is currently rolling out the “Thai Travel Co-Pay” scheme to stimulate domestic tourism during the June–September slump, aiming for a modest 5% revenue bump in participating hotels. But political unrest could undermine even that, as households become more cautious about spending and domestic travel. “The timing couldn’t be worse,” said one tour operator. “We finally had a tool to get Thai families traveling again—now they’re watching Parliament fights on TV instead of planning weekend getaways.” As calls grow louder for Prime Minister Paetongtarn Shinawatra to resign or dissolve parliament following recent controversies, and opposition groups threaten to blockade Government House by June 24, Pattaya’s business community is left in a familiar but frustrating position—stuck in the crossfire of national uncertainty. To survive, many in Pattaya say the government must act quickly and decisively to restore confidence, both among Thai citizens and the international community. “The tourists don’t need to understand Thai politics,” one bar owner said. “They just need to feel like the country is safe, stable, and welcoming. If they don’t, they’ll go to Vietnam.”