Reservations as of late September for package tours to China and South Korea during the October-December period have plunged to less than half of year-earlier levels against the backdrop of deteriorating relations over territorial issues, four major travel agencies said.

JTB Corp., KNT Co., Nippon Travel Agency Co. and Jalpak Co. have booked a combined 2,650 people for their China tours, down roughly 53 percent, and about 42,340 people for their South Korean packages, down 51 percent.

"Tourism demand will likely remain stagnant for a long while," said a senior official of a major travel agency about tours to China, given demonstrations in the country, where Japanese shops and manufacturing facilities have been attacked, and Japanese nationals assaulted.