Trying to rev up a flat tourism sector

In the TAT’s worst-case scenario, the Chinese market could plummet to 4 million this year, generating 240 billion baht, less than half the revenue earned in 2019, she said.

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If the stimulus measures planned for the coming months prove successful, Thailand could earn 370 billion baht from 6.2 million Chinese tourists, according to the TAT.

Another challenge this year is intense competition from within Asia. Key markets that once generated significant revenue for Thailand, such as China, Japan and Vietnam, are now considered major rivals for revenue.

In 2024, Japan welcomed 6.9 million Chinese tourists, surpassing Thailand, which ended the year with 6.7 million.

In the first quarter of this year, Vietnam edged out Thailand as the most-visited destination among Chinese tourists, recording 1.5 million visitors, nearly half of the 3.7 million it received in all of 2024.

China is aggressively promoting tourism, offering both 240-hour visa-free transit and increasing tax refunds to 13% for foreign tourists.

“The Chinese market previously made up 25% of foreign arrivals. This year, its portion could decrease to 17%, but they are still considered an important market for us,” said Ms Pattaraanong.

FACING THE TRUTH

Thanet Supornsahasrungsi, president of the Association of Chonburi Tourism Federation, said the number of foreign arrivals is unlikely reach state targets of 36.5-38.5 million this year unless a clear measure can guarantee tourist safety and a stimulus scheme is enforced.

The association is part of the Federation of Thai Tourism Associations (Fetta).

One Fetta member, the Association of Thai Travel Agents, submitted a proposal to the Tourism and Sports Ministry encouraging the government to host a familiarisation trip for Chinese travel agents and media, as well as allocate subsidies for 1,000 chartered flights from Chinese second-tier cities as soon as possible.