Chinese tourists are likely to take longer trips during this year’s Golden Week holiday, but experts suggest this won’t necessarily lead to a boost in spending. Amid a slowing economy and low consumer confidence, many travelers are expected to choose more affordable options, either within China or to nearby international destinations. The drop in airfares is also encouraging these cost-conscious choices, making travel more accessible without increasing overall expenditure.
Golden Week, typically a peak period for Chinese outbound travel, is forecasted to see only a modest 0.7% rise in trips compared to last year. According to Liu Simin from the China Society for Futures Studies, tourism spending may remain stagnant due to weak economic growth.
He emphasizes that when the economy is sluggish, people are less willing to spend on leisure activities like travel, suggesting little to no growth in the sector this year.
Travelers like Wang Xin in Beijing are reflecting this cautious approach. In previous years, Wang and her family traveled internationally, but this year they are opting for a domestic road trip to Yangzhou, taking advantage of toll-free highways.
Chinese Travelers Opt for Longer, Budget-Friendly Trips During Golden Week Amid Economic Concerns
Wang notes the current economic climate, marked by job losses and uncertainty, has made her more conservative in her spending decisions, a sentiment echoed by many other Chinese travelers.
Airfare prices have dropped significantly, which is influencing travel patterns. Flight Master reports that domestic tickets are 21% cheaper than last year, while international airfares have fallen by 25%.
Short-haul destinations in Asia, such as Japan, South Korea, and Thailand, remain popular, but there has also been an increase in demand for long-haul travel to places like Australia, New Zealand, and Europe, where travelers are staying longer and upgrading their accommodations, taking advantage of reduced costs.
The airline industry has seen varied responses to these travel trends. Some airlines, like British Airways and AirAsia Philippines, have reduced or suspended flights to China due to lower demand and competition from local carriers.
AirAsia, for example, saw a dramatic decline in Chinese passengers, from 30% of its traffic in 2019 to just 2% this year. In contrast, Korean Air Lines is experiencing a rebound in regional demand and has reintroduced several routes to and from China, highlighting a mixed recovery in international travel.
