Business travel represents a substantial force in the global economy. Just before the Covid-19 pandemic hit, it contributed to more than USD 1.2 trillion, about 25 percent of the travel and tourism sector’s overall economic impact, to the global GDP. Businesses had resumed spending on travel after substantial declines in 2008 and 2009.

A research by Global Business Travel Association Foundation had found that for every one percent change in business travel spending, the US economy typically gains or loses 74,000 jobs, USD 5.5 billion in GDP, USD 3.3 billion in wages and USD 1.3 billion in taxes. The report also stated that personal vehicle (35 percent) was the most popular mode of transportation among US business travellers in 2016, followed by airplane (28 percent) and rental cars (13 percent).

Internal travel encompasses trips taken for intracompany purposes, where employees participate in activities such as training, team building or inspection of field operations. External travel, on the other hand, refers to travel done by employees for engagements outside the company, including in-person meetings with clients and suppliers, trade conferences and customer sales calls.

"Obstacles to business travel, such as cumbersome visa protocols and long flight connections, constrain access to knowhow and limit growth opportunities, especially in developing countries," said Frank Neffke, research director at Harvard Kennedy School’s Growth Lab.

Benefits Of Business Travel

In the past, companies have experienced that, on average, 40 percent of customers would eventually be lost without in-person meetings and support.

Detailed statistical modelling over 18 years and 14 industries indicates that for every dollar invested in business travel, US companies make a USD 9.50 return in terms of revenue. The modelling also found that US business travel has yielded USD 2.90 in profits for every dollar spent.

There is a small segment of employees for whom travel is deemed essential for conducting business. This category accounted for around 15 percent of all corporate travel expenses in 2019 and includes decision makers in manufacturing companies with a wide distribution of factories and plants, and field-operation workers. For some corporate travellers, it is possible to move oversight responsibility to local personnel and/or utilise digital medium. This segment will see their business travel decline. A large segment of business travel is done to cultivate new or important client relationships. This segment will bounce back as soon as Covid-related restrictions are lifted.

A tiny portion of business travel comes from the public sector, professional associations and nonprofits. During the pandemic, many professional associations were able to hold virtual events to replace in-person conferences and will likely be more cautious in their return to travel.

Business Travel Catches The Virus!

Business travel has taken a big hit during the Covid-19 pandemic and its future is still up-in-the-air, waiting for the end of the pandemic and firming up the ‘New Normal’. In 2020, total global business travel expenses contracted by 52 percent, while managed corporate-travel spending in the United States alone plummeted by USD 94 billion (71 percent).

The World Travel and Tourism Council’s (WTTC) latest annual research shows that the global travel and tourism sector suffered a loss of almost USD 4.5 trillion to reach USD 4.7 trillion in 2020, with its contribution to GDP dropping by a staggering 49.1 percent compared to 2019. In 2020, sixty-two million jobs were lost, representing a drop of 18.5 percent, leaving just 272 million employed across this sector globally, compared to 334 million in 2019. The threat of job losses persists as many jobs are currently supported by government retention schemes and reduced hours, which could be lost without a full recovery of the travel and tourism sector.

Some business travellers expect to take at least as many business trips in 2022 as they had in the year before the Covid-19 pandemic was declared. While teleconferencing will reduce the need for some business travel, many survey respondents cited the need to meet in-person to rekindle relationships with customers, suppliers and business partners. Another frequent reason cited for the need to travel for business was a job change.

The countries most eager to travel for business once Covid-19 travel restrictions are lifted seem to be China, US and Australia. Of course, the potential increase in Covid cases from the Delta and future variants of the virus may still cause further backsliding on rising confidence levels for resumption of business travel. (TT)

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Giti Tire recently hosted an immersive event at its Hefei R&D Centre for its distributor and dealer network, moving far beyond a simple meeting to deliver a hands-on masterclass in future mobility. The core experience was a guided tour through Giti's Innovation Hub, where specialised zones deconstructed the entire tyre development journey. Partners witnessed firsthand the advanced materials, EV-specific engineering and rigorous motorsport-grade testing processes that form the foundation of Giti's collaborations with leading global automakers.

The event physically manifested this innovation with two pivotal showcases. Guests received a rare, hands-on examination of the Giti Flexcore (Airless) Technology, a concept designed for ultimate safety and sustainability by eliminating punctures. Furthermore, they experienced the cutting edge of automotive performance firsthand by entering the cabin of the YANGWANG U9X, a premier electric supercar, engaging directly with its advanced technology and premium construction.

This carefully curated experience was designed to demonstrate how Giti meticulously engineers, challenges and validates ideas long before production. By providing this transparent look into their technological ecosystem, Giti reinforced its role not just as a supplier but as a strategic partner invested in shared growth. The event served to align the network with the brand's forward trajectory, firmly establishing Giti’s commitment to co-shaping the future of mobility through tangible innovation and deepened collaboration.

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Michelin has launched a specialised tyre engineered to meet the rigorous demands of modern high-capacity mine and quarry loaders. The MICHELIN Xtra Power L5** 26.5 R25 tyre focuses on delivering durability and enhanced productivity in the most challenging operational environments while also prioritising operator comfort. This new size expands Michelin’s portfolio for loaders, building upon the earlier MICHELIN Xtra Power L5*** 35/65 R33 launched in 2021.

The tyre is built to handle complex applications, from face work and block handling to forestry transport and high-speed operations that impose extreme stress. It responds to the industry trend towards larger vehicles with bigger buckets, offering a substantial load capacity increase of up to 18.5 tonnes – a 23 percent improvement over the previous generation.

Key technical advancements underpin its performance. Engineers developed an innovative structure with a curved design and optimised rubber block support to minimise contact surface stress and boost protection. Reinforcements in the tread and shoulders improve damage resistance, while a larger bead heel enhances torque transmission and helps prevent rim slip, reducing premature wear.

Constructed to endure abrasive soils and aggressive surfaces like stone and rock, the tyre facilitates movement across varied terrain, supporting greater machine productivity. Its new tread design and unique rubber compound contribute to this robustness. Additionally, the design incorporates strengthened crown and protective layers with added metal for superior damage resistance.

For long-term cost efficiency, the tyre is designed to be retreadable, helping fleet managers optimise operational expenses. Operator safety and comfort are further enhanced by its capability to operate at pressures up to 7.5 bars, improving machine stability by 20 percent even during intensive loading cycles.

Clifford de Jager, CES Technical Manager, Beyond Road – Mining, Construction, Material Handling at Michelin, said, “At Michelin, we are always adapting and developing our products to ensure they match the needs of the latest machinery on the market. The MICHELIN Xtra Power L5** 26.5 R25 can handle the most challenging working environments while delivering optimised load capacity and improved torque transmission in a stable, comfortable and safe manner.”

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Hankook Tire is all geared up to showcase the prowess of its racing tyres as the ABB FIA Formula E World Championship arrives at the Miami International Autodrome for the 2026 Miami E-Prix. The event, serving as Round 3 of Season 12, marks the series' first World Championship race at this iconic venue, albeit on a shorter, 2.32-kilometre layout crafted for Formula E's distinct performance characteristics. This new circuit configuration around Hard Rock Stadium presents a balanced technical challenge, demanding optimal tyre performance in rapid warm-up, traction on corner exit and stability under heavy regenerative braking.

The temporary nature of the circuit, blending permanent asphalt with repurposed stadium grounds, ensures a weekend of significant track evolution. As the surface rubberises, grip levels will change, particularly in high-load areas, making consistent tyre behaviour a critical factor for success. Teams will rely on predictable temperature build-up and dependable grip to execute qualifying strategies and manage energy efficiency throughout the race. Central to meeting this challenge is Hankook's iON Race tyre, engineered to provide strong adhesion and precise handling while maintaining the crucial low rolling resistance required in the all-electric championship.

This motorsport engagement is a cornerstone of Hankook's premium brand advancement in the region, running parallel to its role as a Founding Partner of the Tomorrow Golf League (TGL). Beyond the track, the Miami event will be a full spectacle, featuring a vibrant festival atmosphere with live entertainment, interactive fan experiences and local food offerings. With the home crowd supporting US-linked teams like Andretti and DS PENSKE, and a new circuit testing every component, the E-Prix is set to be a defining event, powered by the technology within Hankook's tyres.

Manfred Sandbichler, Senior Director, Hankook Motorsport, said, “Miami is the type of venue that immediately raises the technical stakes. With a Formula E layout making its first championship appearance at the Miami International Autodrome, teams arrive without the usual backlog of race-weekend references. That places even greater importance on tyre consistency, traction stability and temperature control. We’re looking forward to seeing the iON Race support close, high-intensity racing as Formula E brings its street-racing character to Miami.”

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Pirelli has launched the latest summer tyre for SUVs, the new Scorpion, representing a comprehensive evolution of a line first introduced in 1986 for high-driving-position vehicles like the legendary Lamborghini LM002. Today, the Scorpion name encompasses a broad family of products, including SUV, motorcycle and bicycle tyres. This newest iteration is engineered to deliver safety, comfort and lasting performance, specifically tailored to the demands of modern Sport Utility Vehicles.

The development process leveraged advanced virtual engineering, with Pirelli’s Milan-based R&D team evaluating over 20 technological variants of compounds and tread patterns using proprietary mileage-prediction tools. Driving simulators further optimised handling and dry performance before physical validation, which confirmed significant improvements over the preceding generation. This integrated design approach yielded a tyre that excels across key metrics. It has earned the TÜV institute’s Premium Quality Mark, ranking first in independent dry braking and wet handling tests while also leading in wet braking and straight-line aquaplaning. The entire launch range achieves the top European Class A rating for wet grip, along with Class A/B for acoustic comfort and Class B for rolling resistance, ensuring consistent performance across summer temperatures.

To address the unique challenges of SUVs, such as increased weight and a higher centre of gravity, Pirelli incorporated dedicated technical solutions. The tyre features a reinforced carcass and structure, wider central tread blocks and an optimised profile that promotes uniform pressure distribution and reduces shoulder deformation. This design promotes even wear, making it ideal for heavier vehicles. The updated tread compound, which shares innovative materials with the acclaimed latest-generation Cinturato for saloons, ensures stable performance, improved wet grip and excellent mileage. Furthermore, a new groove geometry in the tread pattern enhances both handling and noise comfort.

The new Scorpion is already offered in 16 sizes ranging from 18 to 22 inches. It incorporates technologies like Elect, which can extend the range of electric and plug-in hybrid vehicles by up to 10 percent through solutions designed for their specific powertrain characteristics. Building on a legacy of over 300 homologations for the Scorpion summer range, this new generation, developed in collaboration with leading car manufacturers, already has more than 40 homologations in progress.

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