China is counting on Spring Festival spending to stimulate the economy during the ongoing Spring Festival.
The Chinese New Year (also known as Spring Festival) holiday period is considered an indicator of the health of China’s economy, as increased spending can provide insight into consumer confidence. China’s economy continues to struggle with weak domestic demand, with the expected recovery following the coronavirus pandemic still not materializing.
Chinese authorities announced last month that they estimate tourists will make 9 billion trips during the 40-day holiday-related travel period starting Jan. 26.
The official holiday period will run from February 10th to February 17th. However, from the end of January to March, many Chinese people travel or visit family, resulting in a period of increased consumer spending. The surge in travel in China is locally known as “Chunyun.”
Chinese holidaymakers have so far made 195.24 million passenger trips on various modes of transport by Friday during the Lunar New Year, state news agency Xinhua reported, citing official statistics. According to Xinhua News Agency, this represents a 26.7% increase in overall passenger numbers compared to the same period last year.
According to Xinhua News Agency, road traffic volume soared to 184.62 million people, an annual increase of 24.2%.
More than 1.5 billion passenger trips were made in China during the 40-day Lunar New Year period in 2023, Xinhua News Agency reported at the time.
According to Xinhua News Agency, Chinese people took 8.257 million rail trips, an increase of 98.8%, and air travel made 1.797 million trips, an increase of 137.7%.
Despite signs of a relative recovery in domestic travel, Chinese tourists have not traveled to far-flung international destinations during their holidays (as was the norm before the COVID-19 pandemic) ).
According to Reuters, Chinese tourists are heading to Southeast Asia, including Singapore, Thailand and Malaysia, rather than Europe or North America.
Singapore, Thailand and Malaysia recently changed their visa policies to attract Chinese tourists during the holiday period and beyond.
John Grant, principal analyst at the travel data firm, said: “There is a sense that economic hardship and lack of disposable income are having a much more severe impact than in other parts of the world, making travel more expensive.” “It remains in China, where it is cheap.” OAG told Reuters.
China expects domestic travel to pick up over the holiday period, boosting spending for the rest of 2024
Xinhua News Agency on Monday said, “According to a recent report by the China Tourism Academy, Chinese tourists are expected to make more than 6 billion domestic trips in 2024, and the The total is expected to exceed 260 million people.” .
STR/AFP (via Getty)
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