“New Zealand remains a destination cruise guests want to experience”- Image: Grant Bradley
New Zealand’s cruise industry is facing another difficult season as it battles global competitors for ships. But the sector says the foundations are being laid for a recovery as cruise lines make deployment decisions for the years ahead.
A New Zealand Cruise Association (NZCA) conference heard cruise visitor numbers remain well below pre-pandemic levels, with the 2026/27 season expected to bring further falls. The loss of P&O after decades in this market and relative newcomer Disney Cruises had dealt the sector a blow but in its latest forecast the association is more optimistic than last year, with stronger government engagement, progress on biosecurity issues and a new strategy aimed at restoring cruise capacity from 2028/29.
NZCA chair Tansy Tompkins says New Zealand is still competing fiercely with destinations around the world for cruise ships. “New Zealand remains in a fight to win back cruise deployment in an intensely competitive global market,” she says.
NZCA’s Horizon Two strategy says New Zealand cruise visitation is down about 40 per cent in a global market that is growing, while the Government’s Tourism Policy Statement notes that cruise visitation in 2025/26 was only slightly more than half its pre-pandemic level.
The challenge is particularly significant because cruise lines determine ship deployment several years ahead. Decisions affecting the 2028/29 season are being made now and while cruise companies at the conference in Auckland weren’t making big announcements, there are indications capacity may start to rebuild.
Tompkins says the problem is not a lack of passenger demand for New Zealand. “New Zealand remains a destination cruise guests want to experience,” she says.
A New Zealand Cruise Association conference heard cruise visitor numbers remain well below pre-pandemic levels – Image: Grant Bradley
Instead, cruise lines need greater confidence that New Zealand is predictable, competitive and straightforward to operate in.
The NZCA identifies four major barriers: biosecurity and biofouling requirements which can strand ships outside 12-mile limits, regulatory uncertainty, rising costs and a perception that New Zealand can be unpredictable.
More than half of direct spending by cruise companies is on port and regulatory fees.
The association says greater consistency is needed across government agencies, ports and regions, while fee and compliance settings need to be simpler and more transparent. It also wants trans-Tasman cooperation to move beyond goodwill and into practical coordination.
Despite being in the doldrums, cruise remains a substantial contributor to the New Zealand visitor economy. In 2024/25 it generated an estimated $1.23 billion in total economic output, supported more than 8,200 jobs and produced $384 million in wages. Cruise passengers made 1.3 million passenger visit days across 25 ports and destinations, with direct passenger expenditure reaching almost $394 million.
The stakes are enormous. NZCA chief executive Jacqui Lloyd says winning back a ship capable of carrying 3000 passengers making 10 voyages around the country would generate 240,000 passenger visit days. With an average spend of $313 a day, that equates to about $75 million in passenger spending.
Auckland is key to the recovery effort and its tourism organisation Tataki Auckland Unlimited has released a 2026-36 cruise plan.
It shows that in the 2023-24 season, a strong one following the pandemic, the city accounted for about 236,000 passenger movements and 103,000 crew, representing 15 percent of national passenger movements. Yet passengers and crew spent about $201 million in the city, or 39 per cent of national passenger expenditure.
NZCA chief executive Jacqui Lloyd – Image: Grant Bradley
This reflects its role as New Zealand’s principal exchange or turnaround port, supported by its international air links, accommodation capacity and central-city berths. NZCA figures show transit passengers spend around $240 a day when in port whereas exchange passengers spend close to $740 a day.
Auckland is also addressing infrastructure constraints. Princes Wharf is currently the primary berth for ships longer than 295 metres, while Queens Wharf handles midsize and boutique vessels. A new Bledisloe North berth and terminal facilities are planned to open in 2027 season in a $200 million development, helping ease some of the limitations on ship size and berthing while there are multiple vessels in port. Port of Auckland chief executive Roger Gray says the almost all cruise ships, aside from Royal Caribbean Icon class ships, will be able to berth alongside wharves.
However, Auckland says a third berth will ultimately be required, with options to be considered through the Central Wharves Masterplan.
The economic importance of cruise extends well beyond passenger spending. On days when a cruise ship visits, international spending in Auckland’s downtown area increases by an average of 27 per cent.
The city is also performing strongly as a visitor destination. Transit cruise visitors gave Auckland a Net Promoter Score of 76.7 in the 2025/26 season and Tataki Auckland Unlimited aims to lift this to 80 per cent.
While New Zealand is struggling to regain deployment, global cruise confidence remains strong, according to Cruise Lines International Association CLIA Australasia and Asia regional managing director Joel Katz.
Katz told the NZCA conference that 86 new ships are currently on order for a global fleet of about 350. The orders represent around NZ$170 billion of investment and would add approximately 234,000 lower berths.
More than half of new builds can use a range of fuels in addition to traditional marine diesel.
He says the scale of investment reflects both strong current demand, expectations of continued growth into the next decade and confidence among financiers. The number of passengers is forecast to increase from 38 million this year to 40.3 million next year.
CLIA figures show 89.7 per cent of existing cruise passengers intend to take another cruise, while 75.6 percent of people who have never cruised are open to trying it.
“The growth opportunity really comes from both directions,” Katz says.
NAN/Grant Bradley 17-08-26
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