Why tourist traffic from China to Thailand didn't increase after visa abolition
Despite the introduction of a visa-free regime, the expected increase in tourist traffic from China to Thailand did not occur. In this regard, a number of Chinese air carriers had to cancel the frequency or stop performing regular flights to the country altogether.
Reasons for the decline in demand
The slowdown in China's economic growth, coupled with the development of domestic tourism, has had a negative impact on demand for overseas travel. In addition, despite the simplification of visa formalities, there has not yet been a significant increase in the flow of Chinese visitors to Thailand.
Scale of flight cancelations
According to Thai PSB, several major airlines in China, including Air China, China Eastern and Shanghai Airlines, have canceled scheduled flights to Thailand between December 2022 and January 2023. The reason was low demand, as evidenced by the number of airline bookings. A total of 10 air carriers are involved.
Implications for the tourism industry
The share of Chinese tourists in Thailand is currently around 40% of pre-crisis levels. The recovery of this segment is critical for the country's tourism industry, which contributes about 20% of GDP. However, this year, instead of the planned 4 million, only 3.4-3.5 million guests from China arrived. Accordingly, the economic effect for Thailand was lower than expected.
Author of the article: Ekaterina Antonova
