CHINA. Dragon Trail International – the respected marketing solutions company specialising in global travel and the Chinese market – has given an interesting take on a recent article in the Wall Street Journal (WSJ) which has forecast that China will not open its borders to international travel until the end of 2022.
Dragon Trail points out that some travel corridors [albeit within China but outside the Mainland -Ed] are already open, and more could follow well before the end of next year.
In a commentary, Dragon Trail said the situation outlined by the WSJ may not be as stark as it sounds, focusing on a claim in the article that, “if China does ease restrictions, it is likely to first be on travel between the Mainland and Hong Kong and Macau”.
Dragon Trail’s commentary said: “The Chinese government has consistently maintained a very cautious approach to controlling COVID-19 infections, and so a slow reopening has long been expected.
“In fact, Macau has been largely open to Mainland visitors since August of last year, with 167,000 mainland arrivals over the May Labor Day holiday, and expectations of 30-40k arrivals per day for July and August.”
As reported, the latest data from ForwardKeys shows that Mainland travellers are spending longer in Macau than they did pre-pandemic.
Dragon Trail also points out that Air Macau is currently running a promotion with -20% off flights to the mainland for vaccinated Macau residents.
In the case of Macau, restrictions have clearly already been eased, Dragon Trail observes, also noting that China hit the one billion vaccination milestone last weekend.
[Editor’s note: The Mainland-wide resumption of Macau’s Individual Visit Scheme (IVS) last September, suspended in late January 2020 as the COVID-19 outbreak escalated in China, was a breakthrough moment and since then the situation has improved steadily.
Macau visitor overnight stay arrivals this April rose +11.3% to 450,579 (total visitors reached 794,819). Of the overnight stays, 300,467 entered from the Mainland via the IVS visa, a peak for IVS-enabled arrivals since the scheme was reintroduced but still way short of pre-pandemic levels. However, spending levels have been outstanding, and DFS Group Chairman & CEO Benjamin Vuchot is upbeat about prospects.
To read his view on Macau’s travel retail market, click here.
A burning question for travel retail is whether, or when, the Mainland authorities will open travel into the Special Administrative Region of Hong Kong.]
The Dragon Trail commentary continued: “We remain hopeful about additional travel corridors opening up well before the end of next year.
“Despite local outbreaks and lockdowns in Guangdong Province, Dragon Boat Festival (12-14 June) travel was testament to the sustained recovery of China’s domestic travel market, with traveller numbers nearly on par with 2019.
“Camping and outdoor activities, cultural travel, and ‘red tourism’ were all popular, with notable increases in Gen-Z travellers and small private family groups.”
Dragon Trail International is staging a webinar on 12 July focusing on the opportunities surrounding China’s mature/silver travellers. Together with guest speakers Brendan Tansey from Viking Cruises, and Poseidon Expeditions’ Sylvie Chen, Dragon Trail will look at the key market profiles within the 50-70 age group, what they’re looking for from their travel experience, and the best ways of reaching them. More information and booking details can be found here.
