Car rental demand in Portugal has significantly declined following the exit of Ryanair from the Azores. According to local representatives of car hire companies, there has been a staggering 30% drop in bookings since Ryanair ceased operations on March 29, 2026.
Impact of Ryanair’s Departure
Luís Rego, a representative from the Association of Car Rental Companies (ARAC) in the Azores and Madeira, highlighted this decline as especially pronounced during April, a traditionally calmer month for tourism. He noted that the low-cost airline catered to a tourist demographic that frequently rented vehicles and opted for short-term accommodations.
Timing of Ryanair’s Exit
Ryanair’s withdrawal coincided with the Easter season, a period already characterized by reduced tourist activity. Rego remarked, “We noticed this drop immediately during Easter, which is already a quieter period.” The timing of the airline’s exit aggravated the situation, as many travelers had planned their trips during this holiday.
Looking Ahead
Despite the current downturn, Rego remains hopeful about the summer months. He anticipates an upturn in rental activity during this peak season, stating, “Summer is always summer, and there will be more flights and activity.” The impact of Ryanair’s absence, however, is projected to be felt into the winter months.
Concerns for Future Seasons
Rego expressed concern about the upcoming winter. With only SATA and TAP operating in the region, he warned that if no measures are taken, the decline in rental demand could be even steeper. He emphasized that Ryanair had played a crucial role in enhancing tourism in the Azores, contributing to a consistent influx of visitors.
Summary of Key Facts
- Drop in Demand: 30% decrease in car rental bookings.
- Date of Airline Exit: March 29, 2026.
- Impact Period: Notable during April and Easter.
- Future Expectations: Increased activity during summer, concerns for winter.
In conclusion, the exit of Ryanair has left a significant mark on the car rental industry in the Azores. While summer may bring some relief, the long-term implications of the airline’s absence raise ongoing concerns for local tourism and rental agencies.
