China’s economic woes curb ‘Golden Week’ holiday travel | Wilnesh News

China is expecting more tourists during Golden Week, but the country’s ongoing economic woes are likely to continue to impact overall spending during the holiday.

The Ministry of Transport predicts that the number of intercity trips during the National Day holiday this year will reach 1.94 billion, slightly higher than the same period last year. According to officials from the Ministry of Transport.

Sean Rein, The founder and managing director of China Market Research Group said that although the number of domestic travel during this holiday period is likely to exceed that in 2019, the average expenditure per passenger is expected to be lower.

With China’s real estate industry in a prolonged slump and unemployment rising, consumers across China are becoming more frugal. Rein said consumers may cut back on spending until they feel “their income levels are stable and will continue to grow.”

Average prices for hotels and flights on travel booking site Trip.com have remained below where they were a year ago. Domestic and international flight prices on National Day have dropped compared to last year. According to Ctrip.com Released last month.

Natixis chief economist Alicia Garcia Herrero also said the country’s overall tourism spending may rise slightly during the holidays, but that the increase should be off of what she called last year’s “base.” Seen against a lower background.

During last year’s Golden WeekChina’s domestic tourism revenue reached 753 billion yuan (107.37 billion US dollars). This is a 1.5% increase from 2019, according to the Ministry of Culture and Tourism.

Not only are flights cheaper, data shows travelers are likely to choose lower-cost modes of transportation.

this The National Railway Administration stated Railway passenger traffic is expected to exceed 175 million during the Golden Week period from September 29 to October 8, adding that passenger traffic is expected to peak on Tuesday at more than 21 million passengers.

In contrast, the single-day record Number of trips reached 20.7 million On May 1st, China’s Labor Day holiday begins.

Overall, compared with 2023, China’s domestic tourism expenditure and number of travelers have increased this year. and the tourism bureau said at a press conference on MondayTranslated according to Chinese state media CNBC.

Tourism revenue is expected to grow 17.1% year-on-year in the first three quarters to 4.32 trillion yuan, or $615.6 billion, the official said, adding that inbound tourist arrivals are also expected to grow 55.4% year-on-year to 95 million in the first three quarters.

Travel data this year has been mixed, showing the country has had a difficult road recovering from the impact of the coronavirus pandemic. During the May Day holiday in May, the number of domestic tourists and total tourism consumption increased compared with 2019, but per capita consumption was still lower than 2019 levels.

Following a series of disappointing data last month, Chinese officials announced a series of support measures to boost the flagging economy, including cutting the amount of cash required by banks by 50 basis points.

Rein said consumer spending is likely to rebound sharply during the upcoming Lunar New Year period as China digests its latest round of government stimulus.