Asian countries race to grab share of Chinese tourism pie

From relaxing visa requirements and launching direct flights to ramping up targeted digital marketing campaigns, Asian destinations, including Singapore and South Korea, are locked in a battle to attract Chinese travelers.

Data from the National Bureau of Statistics of China shows 167 million mainlanders traveled abroad in 2025, a 16% increase from the previous year.

In 2024, the last year for which tourist spending data is available, Chinese tourists spent US$251 billion globally, the world's highest, according to figures from UN Tourism.

Given the sheer size of the market, Chinese tourists have become a key source of income for airlines and hospitality, dining, and experiential travel operators.

The race to attract Chinese tourists extends beyond just the headcount, focusing instead on embracing new travel trends, encouraging longer stays, and maximizing on-site traveler expenditure.

A survey published in April by travel market research firm Dragon Trail found 56% of surveyed Chinese travelers intended to increase their spending on activities and experiences when traveling abroad, and 49% planned to spend more on dining.

In 2025, 43% reported spending at least 5,000 yuan (US$748) on shopping.

These figures indicate that experience is becoming a key competitive differentiator alongside price and convenience.

Thailand stands out thanks to its visa-free policy for Chinese nationals introduced in 2023, convenient service infrastructure, and competitive pricing.

Popular Chinese digital payment methods such as Alipay and WeChat Pay are widely accepted across various service touchpoints.

Another survey by Dragon Trail, in July and covering more than 300 Chinese travel agencies, found that Thailand was the top destination for Chinese tourists in 2026, accounting for 19% of preferences.

It was followed by Japan at 16%, South Korea (13%), Singapore and the U.S (7% each).

According to the Tourism Authority of Thailand (TAT), the country received around 2.6 million Chinese visitors in the first half of 2026, an 18% year-on-year increase, and the full-year target is 5.1 million.

Thailand is also ramping up segment-targeted marketing.

In August, TAT unveiled a strategy focused on high-spending tourists through wellness products, sports, culture, community-based tourism, and family retreats.

In September, the country launched its "Nihao Month 2026" campaign, named after the Mandarin Chinese greeting for "hello", combining digital marketing, promotional discounts, and influencer collaborations.

South Korea is capitalizing on the global appeal of K-pop, TV dramas, cosmetics, fashion, and cuisine, short flight durations, extensive flight services, and visa waivers for group travelers.

According to figures cited by The China Association of Travel Services, South Korea received around 2.56 million Chinese tourists in the first five months of the year, up 25% year-on-year.

Meanwhile, Japan has felt the impact of its diplomatic tensions with China.

According to the Japan National Tourism Organization, there were only 2.1 million Chinese visitors in the first half of 2026, a 56.4% drop from the same period last year.

This indicates how bilateral relations and public sentiment can influence tourist flows despite Japan's enduring appeal in terms of gastronomy, shopping, heritage, seasonal landscapes, and transit convenience.

Malaysia and Singapore are also seeking to expand their market share by leveraging their own advantages along with visa-exemption agreements with China.

Malaysia has strengthened partnerships with Chinese counterparts under the "Visit Malaysia Year 2026" campaign, capitalizing on its multicultural heritage, culinary offerings, shopping, and family vacation appeal.

Singapore is focusing on its urban attractions, amusement venues, premium service standards, and air connectivity.

The competition extends far beyond Asia.

At the ITB China travel trade show in Shanghai in May, over 900 organizations and businesses from 85 countries and territories participated, emphasizing the global tourism industry's high level of interest in this source market.

Destinations must also adapt to changing travel behaviors among Chinese tourists.

According to a survey by Dragon Trail, 47% of participating travel agencies identified the 18-35 age demographic as the fastest-growing segment.

Small-group tours emerged as the fastest-growing tour format at 37%, followed closely by tailor-made itineraries and luxury travel at 33%.

A survey by COTTM, a leading travel trade show in China, similarly found strong interest among travel operators in Southeast Asian destinations, South Korea, Australia, and New Zealand.

In-depth experiential products, wellness travel, and sustainable tourism are considered particularly promising segments.

Vietnam is well equipped in this race with its geographical proximity to China, beach resorts, cuisine, and competitive costs.

The visa waiver for Chinese tour groups landing in Nha Trang, effective from Oct. 12, 2026 to Dec. 31, 2027, has opened up an opportunity to tap into this market.

According to the Vietnam National Authority of Tourism, China was Vietnam's largest source of overseas visitors in the first nine months of 2026 with nearly four million arrivals.

In 2025 too, Chinese accounted for the largest number of arrivals at over 5.28 million following a 41% jump from 2024.

Airlines have joined the race by expanding services, increasing frequencies, and resuming flights to China.

According to schedule data updated by FlightConnections, a global commercial flight network search app, as of October, Vietnam has direct flights to 23 destinations in China operated by 22 airlines from the two countries.

South Korea has flights to 42 destinations, and Thailand, Malaysia, and Singapore to 29, 30, and 32 destinations.

Japan is an exception, as the number of flights between the two countries continues to decline.

According to AeroRoutes, a website tracking and updating global airline network changes, 51 routes were scrapped for good or suspended by Chinese airlines for the 2025-2026 winter schedule.

The summer flight schedule from Kansai Airport in Osaka Prefecture to Chinese cities shrank by 70% compared to the same period in 2025.

According to Pham Hai Quynh, director of the Asian Tourism Development Institute, visa waivers and starting flight routes can enable a destination to enter a traveler's consideration list.

But to maintain this edge, Vietnam needs to offer enough unique experiences to encourage tourists to stay longer, spend more, and return.

He also emphasized that Vietnam needs to step up promotions on popular digital platforms in China, collaborate with airlines and travel agencies, and improve Chinese-language information services and payment options.

The efficacy of promotions should be evaluated through actual tourist arrivals, return rates, spending levels, and length of stay, rather than relying solely on social media reach or the number of promoted tours, he added.