Analysts optimistic about recovery of Chinese outbound tourism
Analysts at Maybank see Chinese outbound tourism is recovering to significant levels by mid-year.
China.- Analysts at Maybank are optimistic about the recovery of Chinese outbound tourism, anticipating that it will reach meaningful levels by mid-year. In their latest report, they predict that Singapore is benefiting the most from China’s reopening, with travel from China to Singapore already rising.
They have estimated that by mid-2023, China-Singapore seat capacity will return to 65 per cent of what it was in 2019. The potential beneficiaries include Genting Singapore and Far East Hospitality Trust. The analysts also noted that Chinese outbound tourists appear to be travelling for longer periods and spending more money.
A survey by Dragon Trail International revealed that 60 per cent of respondents in China intend to travel overseas in the future, with 71 per cent intending to travel for five to ten days. The majority of those surveyed plan to travel during the summer holidays or the mid-Autumn festival and national day holidays, also known as Golden Week.
Meanwhile, data from “trip.com” indicates that 59 per cent of Chinese tourists have booked 4-5 star accommodations, suggesting a higher spend. It also found that lengths of stay of more than 14 nights in Thailand, Malaysia and Singapore are recovering the fastest relative to 2019.
