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Thailand’s once-thriving Chinese tourist market is under threat. Once a top destination for millions of Chinese travelers, the Land of Smiles is now facing a steep decline in arrivals.
Concerns over safety, economic uncertainties in China, and changing travel preferences have already led to this number going down. Now, a new factor threatens to further challenge this: Thailand’s controversial plan to legalize casinos.
Chinese tourists have historically made up a large portion of Thailand’s tourism revenue, and their reluctance to return in large numbers spells trouble for the country. And if China decides to actively discourage its citizens from visiting Thailand due to its new gambling policies, the situation could get even worse.
The issue was raised on Monday by the opposition People’s Party, who warned that legal gambling was never part of the Pheu Thai Party’s campaign promises and could harm Thailand’s relationship with China.
Some tourism industry leaders are concerned that gambling’s historical links to money laundering and organized crime might potentially deter not only Chinese tourists but also visitors from other regions.
Sisdivachr Cheewarattanaporn, president of the Association of Thai Travel Agents, cautioned that Beijing may restrict travel to Thailand over concerns about weak law enforcement and corruption.
Thailand’s Struggle With Chinese Tourists
In 2019, over 11 million Chinese tourists visited Thailand. But the post-pandemic recovery has been slow, and the numbers have yet to bounce back.
By 2024, Thailand welcomed only 6.73 million Chinese visitors, and estimates for 2025 suggest that number may not surpass 7 million, far short of pre-pandemic levels.
Several factors have contributed to this decline:
Safety Concerns: Chinese travelers remain concerned about safety, and this fear was heightened after the kidnapping of Chinese actor Wang Xing from Thailand.
China’s Economic Slowdown: A weaker yuan and economic uncertainties have led many Chinese tourists to opt for more affordable domestic travel.
Competition from Other Destinations: Countries like Japan and Vietnam are aggressively marketing themselves to Chinese tourists, luring them away from Thailand. Around 1.7 million Chinese travelers visited Japan in the first two months of this year, nearly double the figure from the same period in 2024. Whereas Thailand received 1 million Chinese tourists in the first two months, down 12% from 2024.
Changing Travel Trends: Many younger Chinese travelers now prioritize destinations that offer unique cultural and lifestyle experiences over traditional beach vacations.
Thailand’s government has attempted to restore confidence, partnering with companies like Baidu to improve its image in China. However, travel industry experts argue these efforts may be undermined if Beijing perceives Thailand as a growing gambling hub.
The Casino Gamble
Thailand has long debated the legalization of casinos, but the ruling government, led by Prime Minister Paetongtarn Shinawatra, is now pushing forward with plans to establish integrated casino resorts. The aim? To boost tourism, generate billions in tax revenue, and create thousands of jobs.
The proposed Entertainment Complex Business Act would allow casinos to operate within larger resort complexes in cities like Bangkok, Pattaya, Chiang Mai, and Phuket. The government predicts that legal casinos could bring in THB 187 billion ($5.14 billion) annually, roughly 1% of Thailand’s GDP.
At ITB Berlin this month, Prime Minister Paetongtarn Shinawatra announced that Thailand is targeting 39 million visitors and THB 3.5 trillion ($106 billion) in tourism revenue this year, an increase from 35 million visitors and THB 1.67 trillion ($51 billion) recorded in 2024.
In contrast, Cheewarattanaporn of the Association of Thai Travel Agents estimated that foreign arrivals would be closer to 37 million this year, representing an increase of less than 5% over the 35.5 million visitors in 2024.
China’s Anti-Gambling Policies
The Chinese government has long opposed overseas gambling and actively discourages its citizens from traveling to destinations with legal casinos. Beijing’s crackdown has already impacted gambling hubs such as Macau, Singapore, South Korea and the Philippines.
Last year, the Chinese Embassy in Singapore issued an advisory on Chinese messaging platform WeChat, asking Chinese nationals in Singapore to “stay away” from overseas gambling.
“Even if overseas casinos are legally opened, our citizens’ cross-border gambling is suspected of violating Chinese laws, especially those who participate in organizing gambling and gambling games, and will be held accountable according to law,” the notice said.
Cross-border gambling may also bring risks such as fraud, money laundering, kidnapping, detention, trafficking, and smuggling, the notice read.
In December Chinese President Xi Jingping also urged Macau, the only place in China where gambling is legal, to diversify away from casinos.
The Opportunity vs Risk Debate
While the government argues that legal casinos will modernize Thailand’s tourism industry, some critics see them as a liability.
Even within Thailand, the proposal faces pushback. The country’s Buddhist-majority population has historically opposed gambling, seeing it as morally problematic. Previous attempts to legalize casinos have failed due to widespread public resistance.
However, on Monday Thailand’s ministry of finance published a document summarizing the findings of a 15-day public hearing period on the draft Entertainment Complex Bill. According to the document more than 80% of 71,289 respondents approved of the plan with many even suggesting an easing of rules around locals entry and gaming floor space.
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