Some 271 hotels in Wuhan and 47 hotels in nearby areas have so far provided 6,056 medical workers with over 40,000 room nights of free accommodation.
The toll on travel and hospitality could be worse than during the SARS epidemic when Chinese travelers were a smaller group than they are today.
Airlines and major hotel chains are waiving cancellation fees, but recouping all the costs associated with trips canceled due to coronavirus fears is far from guaranteed.
The outbreak will hit Asia Pacific economies, particularly in retail, restaurants, conferences, sporting events, tourism and commercial aviation.
Major global corporations have announced to shut down respective operations until further notice and banned employees from traveling to China.
Tourism operations in mainland China account for 13% of the company's total operating revenue.
So far, 37 global airlines and over 10 international hotel chains have participated in the initiative to offer travelers free cancellations.
The national travel agency association urged Chinese travel agencies to fully understand and support "preferential terms to Chinese tourists to prevent the spread of the coronavirus pneumonia".
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