Forget Mexico, MSC, Royal Caribbean may cancel port over tax hike
Cruise lines were up in arms late last year as Mexico passed a $42 per passenger tax that would impact all cruisers.
That added fee would make Mexican ports some of the most expensive in the world and country delayed implementation of the fee in order to work out a deal with the cruise lines.
Related: Carnival Cruise Line shares passenger emergency news
The cruise industry has significant power when it comes to simply not visiting a destination. In the case of the massive $42 Mexican tax increase, if it had been implemented, it likely would have caused the country’s cruise ports to lose money as ships would have cancelled visits to many ports.
In addition, while it did not threaten this, Royal Caribbean would likely have to rethink its plans to build a new Perfect Day in Mexico and its Beach Club that’s being built in Cozumel.
Now, another major destination has passed a new tax on cruisers with no warning and the industry is pushing back. It’s important to know that this new tax is per port call, and not per sailing, so it would be very expensive for cruisers given how many current itineraries work.
Doug Parker of Cruise News Today has the full story.
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Another port could be dropped over a tax hike
Transcript:
This is cruise news today with Doug Parker.
Good morning. Here’s your cruise news for Tuesday, January 28.
Cruise lines are canceling port calls in Iceland following a significant tax hike for the year. Now last week, we reported of a new fee of $18 per passenger per port which is a 5x increase over the previous cruise taxes.
Currently 80 ships have canceled their visits for the year and MSC Cruises warns that the tax threatens the feasibility of including Iceland in future itineraries
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MSC adds to North American fleet; Virgin sets record
And speaking of MSC, they have revealed plans to home port its fourth world-class ship at Port Canaveral for the winter of 27 and 28. This addition of course strengthens the cruise lines presence in North America alongside sister ships MSC World Europa and MSC World America.
The ship will offer year-round seven-night Caribbean itineraries including MSC’s private island in the Bahamas.
Meanwhile, MSC Grandiosa will also return to Port Canaveral for the 26-27 season
And Virgin Voyages is celebrating record-breaking bookings and revenue with a 60% increase in sales in near sellouts for early 25.
The cruise lines fourth ship Brilliant Lady will debut in September joining the fleet with itineraries across New York City Miami and the Caribbean.
And AAA’s first annual travel forecast predicts a record 19 million Americans will take a cruise this year. This marks a four and a half percent increase from last year and a 34% jump from pre pandemic levels in 2019.
Now Caribbean cruises remain the top choice making 72% of the itineraries With shorter sailings of five days or less also gaining popularity .
(The Arena Group will earn a commission if you book a cruise.)
Have questions about booking a cruise? Schedule a free appointment with Come Cruise With Me’s Travel Agent Partner Postcard Travel Planning or call or text Amy Post at 386-383-2472.
The dominators? Well, it’s Florida
They continue to lead the industry with Miami Port Canaveral and Port Everglades hosting mega ships across all three ports like Royal Caribbean’s icon of the seas and
Finally, happy birthday to my sister Kelly a captain in the United States Air Force.
Happy birthday, Kelly We’re proud of you.
if you have a lead on a story Let us know tips@cruise radio net and you have yourself a great Tuesday. I’m Doug Parker with cruise news today
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