MIAMI -- Cruise executives at the Seatrade Cruise Global conference described the industry as well positioned to weather volatility.
During the State of the Global Cruise Industry keynote on Tuesday, Carnival Corp. CEO Josh Weinstein said the industry is in a much stronger position than it was during an oil crisis in the summer of 2008, when the cruise lines levied fuel surcharges because oil prices soared to as high as $147 per barrel.
The cruise executives were not asked if fuel surcharges were a possibility in 2026, with Iran's wartime closure of the Strait of Hormuz causing oil supply disruptions and rising prices worldwide.
In the fall of 2008, the oil crisis gave way to the global financial crisis, which resulted in plummeting cruise fares.
Weinstein did say that the cruise industry is vastly larger now than it was 15-plus years ago, making it more capable of withstanding economic volatility.
"The great thing about our business is it's a very healthy business," he said. "We've got a great balance sheet. We've got record demand."
The industry's economic resilience was a core theme of the keynote, which featured the top executives of the four largest cruise companies and trade group CLIA.
Weinstein described the industry as being protected during moments of economic strain on households due to its value relative to vacations on land.
"We offer a ridiculous value gap to other vacation alternatives, and so we are incredibly well positioned if the world gets tougher and if there's less disposable income," he said.
Norwegian Cruise Line Holdings CEO John Chidsey said it is amazing "what you get for the dollar" on a cruise.
"I think our industry is positioned phenomenally well, given the challenges we face," he said.
Also on the panel were Royal Caribbean Group CEO Jason Liberty, MSC Group Cruise Division executive chairman Pierfrancesco Vago and CLIA president and CEO Bud Darr.