“Travel in China” and “Shopping in China” Gain Further Momentum Amid Rapid Growth in Travel Services

date
07/08/2025
avatar
GMT Eight
Travel-related services in China recorded robust growth in the first half of the year, with total trade reaching RMB 1.08029 trillion, up 12.3% year-on-year, and exports soaring 68.7%.

In the first half of this year, despite a complex and evolving international landscape, China’s service trade demonstrated robust growth, with travel services showing particularly strong performance. Total imports and exports of travel-related services amounted to RMB 1.08029 trillion, reflecting a 12.3% increase year-on-year and positioning it as the leading sector in the service trade. Of particular note, travel service exports surged by 68.7% compared to the same period last year, making it the fastest-growing segment in the category.

Chen Jianwei, Professor at the National Institute of Opening-up at the University of International Business and Economics, stated in an interview with Securities Daily that this upward trend is primarily driven by the enhancement and implementation of policies such as departure tax rebates and visa-free transit programs. With China’s visa-free access framework continuing to grow, the appeal of “Travel in China” is on the rise. The tax rebate policy reduces the cost of shopping for international tourists, enhancing China’s price advantage and overall appeal as a travel destination. These factors have significantly stimulated spending by inbound visitors, thereby accelerating the export growth of travel services.

According to Chen, this shift not only supports the repatriation of consumer spending but also contributes meaningful momentum toward the optimization of service trade structures and its continued scale expansion.

Currently, China maintains comprehensive mutual visa exemption agreements with 29 countries, provides unilateral visa-free entry to 46 countries, and offers 240-hour visa-free transit to citizens of 55 countries. In addition to these measures, regional policies—such as visa-free access to Hainan, exemptions for ASEAN tour groups, and visa-free entry for cruise passengers—have further streamlined business and tourism travel into the country.

Data released by the National Immigration Administration show that during the first half of the year, there were 38.053 million foreign entries and exits, an increase of 30.2% year-on-year. Among these, 13.64 million entries were under visa-free policies, representing a significant 53.9% increase over the previous year.

In April, the Ministry of Commerce, together with five other departments, issued the Notice on Further Optimizing the Departure Tax Refund Policy and Expanding Inbound Consumption. The policy outlines eight facilitation measures, including reducing the minimum threshold for tax refunds to RMB 200, extending the “immediate tax refund upon purchase” model across the country, and encouraging the establishment of more tax refund stores in major commercial and tourist hubs.

These initiatives have played a substantial role in enhancing the attractiveness of “Shopping in China.” Statistics indicate that in the first half of the year, tax-refunded sales nationwide nearly doubled compared to the same period in the previous year. The number of tax refund outlets exceeded 7,200, up approximately 80% from the end of 2024.

As the second half of the year begins, local governments are launching targeted initiatives aligned with regional strengths. For example, on July 3, the Shanghai Municipal Commission of Commerce, in collaboration with five other departments, issued the Action Plan for Optimizing the Departure Tax Refund Consumption Environment in Shanghai (2025–2027). The plan positions Shanghai as a premier entry point for inbound tourism, aiming to establish the city as a benchmark for tax refund services with an efficiently designed network of refund points, a broad selection of goods, high-quality customer service, and a seamless “purchase-verification-refund” process.

Addressing how China can further elevate the global competitiveness of its travel services, Liu Xiangdong, Deputy Director of the Department of Scientific Research and Information at the China Center for International Economic Exchanges, told Securities Daily that several steps should be taken. These include further enhancing entry and exit facilitation policies, expanding the network of visa-free agreements, and strengthening cross-border payment systems. Additionally, he emphasized the importance of deepening the integration between culture and tourism through product innovation to cater to diverse traveler preferences. Finally, reinforcing the regulation of tourism service quality and improving the professional standards of industry personnel will be essential to enhancing the international reputation of “Travel in China.”