China’s outbound travel is experiencing a revival, with over 1.5 million Chinese citizens embarking on trips during the recent Golden Week holiday. The easing of pandemic-related restrictions, favorable visa policies, and increased airline capacity have contributed to this resurgence. While challenges remain, particularly in travel to the U.S., the overall trend is positive.
During the Golden Week period, Chinese tourists visited nearly 200 countries and over 3,000 towns worldwide. Thailand emerged as the top destination, with factors such as visa-free entry, shorter flight durations, and cost-effectiveness driving the trend. While the numbers have not yet reached pre-pandemic levels, there has been significant growth in outbound travel, with reports of a 190% year-on-year increase in outbound tourists.
Alibaba’s Fliggy reported a near doubling in outbound travel bookings during the five-day holiday, with per capita spending surpassing 2019 levels significantly. Alipay transactions also reflected increased spending in overseas markets, particularly in destinations like Thailand and Malaysia. However, travel to the U.S. still faces challenges, with flight capacity between the two countries at only 25% of pre-Covid levels.
Limited flight availability, visa processing delays, ongoing geopolitical tensions, and concerns over racial treatment are cited as reasons for the decline in travel to the U.S. From China. However, there has been a gradual restoration of airline service, with the average price per person for international air tickets dropping by more than 10% compared to the previous year. Asian destinations remain popular, with 9 out of the top 10 outbound destinations being in Asia.
There is a notable shift towards exploring less traditionally frequented destinations by Chinese tourists. Austria, Turkey, Morocco, and other less traditionally visited destinations saw the fastest growth rates in bookings. Fliggy reported a quadrupling in bookings for long-distance travel to places like Austria, Turkey, Morocco, and others. Additionally, there have been significant increases in travel to Middle Eastern destinations such as Oman, Saudi Arabia, and Kuwait.
Saudi Arabia and Qatar are set to increase the number of direct flights connecting China and Hong Kong, aiming to capitalize on the resurgence of Chinese tourists. Saudi Arabia, in particular, aims to attract 5 million Chinese visitors by 2030, having welcomed 140,000 Chinese tourists last year. The trends in outbound travel from China suggest a strong resurgence, driven by favorable visa policies, increased airline capacity, and a growing interest in diverse global destinations.
