China’s Travel & Tourism Sector in 2025: Dynamics, Transformation & Global Reconnection

OVERVIEW

Projections for 2025 indicate that China’s travel and tourism sector will contribute an unprecedented ¥13.7  trillion to national GDP – 10.3% higher than its pre‑COVID level and the largest contribution in the sector’s history. It will sustain over 83 million jobs, with 1.3 million new roles generated this year. Although overall employment remains about one million below the 2019 peak, the recovery path continues to strengthen, supported by renewed domestic travel enthusiasm, the revival of inbound tourism, and the digital evolution of the sector’s ecosystem. According to World Travel & Tourism Council (WTTC) forecasts, by 2035 China’s travel and tourism sector will become an even stronger economic driver, adding over ¥27 trillion to its GDP, or 14% of the total economy, while growing about twice as fast as overall economic output at 7%.

Nonetheless, the industry is witnessing a noticeable divergence in performance. Disparities between online platforms and offline enterprises, and between leading firms and smaller participants, have become more pronounced. In this context, offline sub‑markets have demonstrated stronger growth potential, while local destination governments and cultural administration authorities are playing increasingly important roles in shaping regulatory frameworks, guiding market order, and enhancing visitor experience. For instance, Huangshan’s partnership with Alipay has resulted in a full‑journey AI travel assistant that enhances convenience and personalization for both domestic and overseas tourists.

SOCIAL MEDIA’S ROLE IN SHAPING CHINA’S GLOBAL APPEAL

The rebound of international arrivals is deeply intertwined with the digital ecosystem and social media influence. The world’s perception of traveling in China has diversified, shifting from purely sightseeing to experience‑driven exploration embedded in local life – ranging from hot‑pot dining and night markets to shopping in trendy local art stores and exploring heritage neighborhoods.

Viral trends on global platforms – such as the meme “Off‑work Friday, fly to China”-illustrate a cultural zeitgeist where younger overseas travelers see China as an accessible, exciting, and safe destination for short breaks. Influencers, vloggers, and global celebrities – from IShowSpeed to Lisa from BLACKPINK, Tim Cook, and Ed Sheeran – have further amplified China’s global tourism image.

“Visa‑free expansion” has extended to include more countries across Asia and Europe, effectively enlarging China’s visa‑free travel network. This policy, combined with affordable air connectivity and in‑destination digital convenience, has catalyzed spontaneous travel among international tourists.

Since its launch in May 2024, Shanghai’s anonymous multi‑purpose prepaid card “Shanghai Pass,” designed for international visitors, has issued more than 86,800 cards, generating around 261,200 transactions to date. According to data from Trip.com, inbound travel bookings during the 2025 Spring Festival holiday surged by 203% year‑on‑year, with South Korea showing the most significant increase at 452%. Other major source markets include Malaysia, Singapore, Japan, the United States, Australia, Thailand, the United Kingdom, Russia, and Vietnam. Throughout 2024, a total of 610 million border crossings were recorded by China’s immigration authorities, up 43.9% compared with the previous year.

The visitor satisfaction indices for the first and second quarters of 2024 reached 81.7 and 82.9, respectively – both above historical averages and demonstrating a continual upward trend. Meanwhile, the number of foreign travelers purchasing train tickets at Shanghai Railway Station climbed to 1.85 million in 2024, representing a 250% increase compared with 2023 and averaging over 5,000 international passengers served per day.

CULTURAL EXPERIENCES AND CONSUMER NARRATIVES IN CHINA’S URBAN TOURISM

Across China’s major cities, vivid cultural stories unfold through the experiences of inbound travelers – where sightseeing, consumption, and emotional connection blend into a single narrative of rediscovery. In Shanghai, long queues now form outside the Former Provisional Government Site of the Republic of Korea, where popularity on Trip.com’s heat index jumped by 370% within a single month. Meanwhile, in Chengdu, visitors from Singapore and Malaysia crowd the Chengdu Research Base of Giant Panda Breeding to see “Hua Hua”, often wearing panda accessories and sharing the experience on social media. These micro‑narratives exemplify how international travelers engage emotionally with Chinese cultural symbols.

Personal stories highlight the seamless integration of culture and digital convenience. Lee Wonjun, a visitor from Seoul, purchased White Rabbit candies and honey peach tea using Alipay upon arrival in Shanghai, commenting on the ease of cashless payments. Park Ji‑Eun and her friends from Seoul took a taxi directly to Haidilao Hotpot on Nanjing Road Pedestrian Street immediately after landing in Shanghai. “It always takes a long time to get a table at Haidilao in Seoul, so we decided to try the most authentic one here in China,” she explained. For visitors from Japan and South Korea, the visa‑free entry policy and short‑haul flights have made weekend trips increasingly effortless. Inoue Haruna, a Japanese student in Shanghai, shared that her visiting family toured the Bund, Yuyuan Garden, Xintiandi, and her university campus, admiring the city’s safety, accessibility, and friendliness – qualities that inspire them to return frequently. “My mother found Shanghai very convenient and safe,” she said. “She told me she would come to visit often whenever she has time.” Low‑cost carriers such as Spring Airlines have accordingly increased flight frequencies between Shanghai and Busan or Osaka in response to this surge in short‑haul travel.

Tang Yanhong, East China Regional Director of Coach, observed that starting from the second half of 2024, the number of international visitors shopping in Coach stores has continued to rise, particularly among travelers from Korea, Thailand, Singapore, and Malaysia. Although Coach has stores in these countries, some products that debut globally are available only in China. One limited‑edition design priced above ¥7,000 sold briskly, supported by tax rebates of roughly 9%. At Shanghai First Foodmall on Nanjing Road, iconic names like Wang Yutai tea have become cherished souvenirs. Labels such as Li‑Ning and Bosideng report a sharp rise in shoppers from Japan, Korea, Vietnam, Malaysia, and Singapore, attracted by “China Red” colorways and Spring Festival (Year of the Snake) collections.

Contemporary collectibles further symbolize the cultural crossover. POP MART’s LABUBU series remains a bestseller among Thai tourists, while MOLLY, SKULLPANDA, and CRYBABY continue to attract fans across markets. At Huawei’s flagship store on Nanjing Road, foreign visitors stop for selfies, product trials, or even car test drives. Davide, a traveler from Italy, remarked, “Huawei is well‑known in Italy; many of my friends use its phones.” Store staff report strong foreign interest in the Mate series and Pura series smartphones, including foldable models such as the dual‑screen and tri‑fold versions.

From Sichuan face‑changing performances to hand‑pulled noodle shows, many venues now employ multilingual staff who provide interactive cultural guidance, teaching visitors to join local viral dances such as “Subject 3” or celebratory songs, creating a distinctive atmosphere of cross‑cultural hospitality that blends commerce, culture, and community.

DOMESTIC TOURISM: NEW GENERATION, NEW RHYTHMS

Parallel to the resurgence of inbound tourism, domestic travel in China is undergoing a transformation marked by new forms of expression. This shift is driven by younger generations who prefer personalized, immersive experiences over traditional sightseeing.

A nationwide survey of young travelers indicates that “slow travel” (55.3%) and ” self‑planned trips” (52.3%) are the most favored styles, reflecting a growing emphasis on flexibility, depth, and self‑discovery. Historical sites (57.2%) and natural landscapes (53.1%) remain the primary attractions, followed by iconic food experiences (45.1%) and intangible cultural heritage performances and folk festivals (42.1%). Other motivations include visiting film and television shooting locations (33.0%), attending concerts and theatrical performances (29.8%), exploring museums and science centers (21.8%), retracing the journeys of ancient scholars (17.5%), participating in sporting events (16.7%), and joining literature‑themed tours (16.4%).