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Cruise line CEOs press White Home Covid staff on U.S. sailings: Sources

Royal Caribbean’s Navigator of the Sea cruise ship berths in Port Miami on March 2, 2021 in Miami, Florida.

Joe Raedle | Getty Images

In a meeting with the White House’s Covid Response Team and Centers for Disease Control and Prevention, the CEOs of Carnival, Norwegian Cruise Line and Royal Caribbean spoke out in favor of replacing the government’s gradual approach to US ports and create a clear roadmap that will allow crossings to resume this summer, sources in the CNBC area told.

Earlier this month, the CDC updated their conditional sail order framework. However, the agency has not yet set a date on which operators can resume voyages from American ports.

The CEOs of the virtual meeting on Monday made it clear to U.S. health officials that by requiring vaccinations and negative Covid tests for everyone on board, passengers could sail safely, the sources said. One participant who did not wish to be identified described the meeting as “encouraging”.

A spokesman for the Cruise Lines International Association trade group told CNBC, “For the first time, industry leaders have been able to highlight the cruise community’s unique ability to implement and accurately manage health protocols that incorporate rigorous reviews, tests, prevention, detection, and monitoring and response procedures all in one controlled environment throughout the cruise experience. ”

The time for the meeting this week has come as communication between the cruise lines and the U.S. health authorities has been tense and politicians on both sides have also exerted pressure.

On Thursday afternoon, Norwegian Cruise Line reiterated its request to the CDC to allow the company to resume cruising from US ports on July 4th. “I continue to await further discussions with the CDC and respectfully request an immediate response to my written proposal to resume cruising in July so we can join America’s national reopening,” CEO Frank Del Rio said in the statement .

Senator Richard Blumenthal, D-Conn., And Rep. Doris Matsui, D-Calif., Said in a statement Thursday that they wrote a letter to CDC Director Dr. Rochelle Walensky sent and asked her to keep the sailing order.

On Tuesday, Florida GOP Sens. Marco Rubio and Rick Scott and Senator Dan Sullivan, R-Alaska announced a bill aimed at overriding the CDC’s current framework for cruise ship return to sea. The economies in Florida and Alaska are feeling the effects after more than a year without cruising. The cruise was discussed later on Tuesday at the first hearing of a new Senate Travel and Tourism subcommittee.

Florida Governor Ron DeSantis announced last week that the state would file a lawsuit against the CDC. He demanded that cruise ships be allowed to sail again immediately.

A former tour operator told CNBC that the cruise lines are not a priority after the March 2020 event, when several cruise lines were stranded at sea and the ports did not let them in.

CNBC has approached the CDC and the White House for comment and received no response.

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Florida sues CDC to permit cruises to renew U.S. sailings

Maiden voyage of the Symphony of the Seas, the world’s largest cruise ship, which was delivered from STX shipyards in Saint-Nazaire to the American shipowner Royal Caribbean Cruise Ltd (RCCL).

Andia | Universal Images Group | Getty Images

Florida Governor Ron DeSantis announced Thursday that the state would file a lawsuit against the Centers for Disease Control and Prevention, demanding that cruise ships resume sailing immediately.

“Florida is fighting back today on behalf of the tens of thousands of Floridians whose livelihood depends on the viability of an open cruise industry,” he announced at a press conference. “We don’t believe the federal government has the right to moot a large industry for over a year based on very little evidence and very little data.”

DeSantis described the CDC’s decision to delay the opening of the US cruise industry as “irrational” and said he believed the lawsuit had a “good chance of success”.

The CDC was not immediately available for comment.

In the first six months of the pandemic, Florida lost $ 3.2 billion to the cruise industry shutdown, including nearly 50,000 jobs that paid $ 2.3 billion in wages, according to a September 2020 report by the Federal Maritime Commission. Since the CDC shut down the U.S. cruise industry last year, the state’s seaports have seen operating revenues decline by nearly $ 300 million. That number is expected to hit nearly $ 400 million in July, the Florida Department of Transportation told CNBC.

Florida Governor Ron DeSantis speaks to the media about the cruise industry during a press conference in Port Miami on April 8, 2021 in Miami, Florida.

Joe Raedle | Getty Images

The governor signed an executive order on Friday banning so-called vaccination passports, which should also apply to the cruise industry. Corporations and government agencies cannot require customers or clients to provide evidence of vaccination.

In October, the CDC announced in its framework for the Conditional Sailing Ordinance that Covid spreads more easily on cruise ships than in other environments. The agency cited, among other things, a study published in the Journal of Travel Medicine which found that the virus spread at a rate four times higher on the Diamond Princess cruise, spreading an average of one person to 15 people than at the original epicenter in Wuhan, China, where it was divided from one person to four on average.

Cruise ships extend the interruptions to the landing gear

Royal Caribbean announced Thursday that it would be extending the suspension of some of its voyages from US ports.

Royal Caribbean International, Celebrity Cruises and Silversea Cruises’ voyages will be suspended until June 30, according to a press release. However, voyages from new home ports in other regions of the world are still going according to plan.

The Silversea extensions exclude Silver Moon, Silver Origin, and Silver Explorer.

“Safety is a top priority and we know cruises can be safe as we have seen in Europe and Asia,” said Richard Fain, Chairman and CEO of Royal Caribbean Group, in a press release. He remains optimistic about the second half of the year, citing President Joe Biden’s promise that society should return to normal by July 4th.

Disney Cruise Line also announced on Monday that US travel will continue to be suspended until June. This affects the Disney Dream, Disney Fantasy and Disney Wonder sails.

The industry wants to be treated like an airline

Royal Caribbean has carried over 100,000 guests on its ships outside of the United States since the pandemic and seen only 10 cases of Covid, Fain said on CBS This Morning on Thursday. He said he “would like to be treated very similarly to airlines and other modes of transport.”

Carnival Corporation CEO Arnold Donald expressed a similar sentiment in an interview with CNBC on Wednesday. He said cruise lines would “like to be treated in the same way as other sectors such as travel, tourism and entertainment”.

While airlines are able to fly around the world during the pandemic, the cruise industry, which had over 100,000 American jobs before Covid, has struggled for about a year with no travel from its US ports.

“The irony is that an American today can fly to any number of destinations to take a cruise but cannot board a ship in the United States,” the Cruise Lines International Association said in a statement on Monday, calling for it urged the CDC to suspend its terms and conditions, which described a gradual return to US cruise operations with no specified date.

Last week, the CDC released technical instructions for cruise lines, including increasing the frequency of Covid case reports from weekly to daily, creating a schedule for all staff to be vaccinated, and performing routine tests. However, this update did not specify a date when cruise ships would be back in service in the United States

Correction: This story has been updated to reflect that Arnold Donald is CEO of Carnival Corporation.

Categories
Business

Florida sues CDC to permit cruises to renew U.S. sailings

Maiden voyage of the Symphony of the Seas, the world’s largest cruise ship, which was delivered from STX shipyards in Saint-Nazaire to the American shipowner Royal Caribbean Cruise Ltd (RCCL).

Andia | Universal Images Group | Getty Images

Florida Governor Ron DeSantis announced Thursday that the state would file a lawsuit against the Centers for Disease Control and Prevention, demanding that cruise lines resume sailing immediately.

“Florida is fighting back today on behalf of the tens of thousands of Floridians whose livelihood depends on the viability of an open cruise industry,” he announced in a press conference on Thursday. “We don’t believe the federal government has the right to moot a large industry for over a year based on very little evidence and very little data.”

DeSantis described the CDC’s decision to delay the opening of the US cruise industry as “irrational” and said he believed the lawsuit had a “good chance of success”.

The CDC was not immediately available for comment.

The governor signed an executive order on Friday banning so-called vaccination passports, which should also apply to the cruise industry. Private and public companies do not need to provide proof of vaccination.

Florida Governor Ron DeSantis speaks to the media about the cruise industry during a press conference in Port Miami on April 8, 2021 in Miami, Florida.

Joe Raedle | Getty Images

Cruise ships extend the interruptions to the landing gear

Royal Caribbean announced Thursday that it would be extending the suspension of some of its voyages from US ports.

Royal Caribbean International, Celebrity Cruises and Silversea Cruises’ voyages will be suspended until June 30, according to a press release. However, voyages from new ports in other regions of the world are still going according to plan.

The Silversea Cruises that have extended their suspension exclude Silver Moon, Silver Origin and Silver Explorer.

“Safety is a top priority and we know cruises can be safe as we have seen in Europe and Asia,” said Richard Fain, Chairman and CEO of Royal Caribbean Group, in a press release. He remains optimistic about the second half of the year, citing President Joe Biden’s promise that society should return to normal by July 4th.

Disney Cruise Line also announced on Monday that US travel will continue to be suspended until June. This affects the Disney Dream, Disney Fantasy and Disney Wonder sails.

The industry demands fair treatment

Royal Caribbean has carried over 100,000 guests on its ships outside of the United States since the pandemic and seen only 10 cases of Covid, Fain said on CBS This Morning on Thursday. He said he “would like to be treated very similarly to airlines and other modes of transport.”

Arnold Donald, the CEO of Carnival Cruise Line, expressed a similar sentiment in an interview with CNBC on Wednesday. He said cruise lines would “like to be treated in the same way as other sectors such as travel, tourism and entertainment”.

While airlines are able to fly around the world during the pandemic, the cruise industry, which had over 100,000 American jobs before Covid, has struggled for about a year with no travel from its US ports.

“The irony is that today an American can fly to any number of destinations to take a cruise, but cannot board a ship in the US,” the Cruise Lines International Association said in a statement on Monday, calling on the CDC to repeal its framework for Conditional Sailing Order, which describes a “framed approach” for US cruise lines to return with no strict date in sight.

Last week, the CDC released technical instructions for cruise lines, including increasing the frequency of Covid case reports from weekly to daily, creating a schedule for all staff to be vaccinated, and performing routine tests. However, this update did not specify a date when cruise ships would be back in service in the United States

“Nobody can guarantee that anyone anywhere in America or anywhere else is safe from Covid,” Fain told CBS. “Actually the irony is, when you get on a ship, you will reduce your risk of contracting the virus.”