TUI CEO warns Spain and Italy have reached maximum tourism capacity

Sebastián Ebel, CEO of TUI Group, has stated that traditional European tourism leaders Spain and Italy have reached their “maximum structural capacity.” Speaking to the Wall Street Journal, Ebel noted that Spain is “totally sold out,” making further growth difficult despite stable demand.

Ebel highlighted that these leading destinations suffer from unmodernized infrastructure and expressed concern regarding the rise of vacation rentals. As a result, TUI may redirect demand toward destinations with more growth potential and improved infrastructure, specifically naming Turkey and Egypt as viable alternatives.

While Ebel views Spain as having enormous potential as a source market for travelers, he emphasized that the industry must remain flexible to manage the shift in destination preferences.