Daiwa Securities: Strong Growth Expected in Inbound Tourism in China in the Next 10 Years.

Morgan Stanley has released a report, forecasting that the size of China's inbound tourism retail market will more than triple in the next 10 years, growing from $14 billion in 2024 to $60 billion in 2034. The proportion of the overall tourism retail market in China is expected to increase from 10% to 25%. The increase in the number of globally renowned brands and continuously optimized shopping experiences are the key driving factors. Morgan Stanley points out that China's leading consumer electronics products, as well as brands such as Pop Mart, are rising globally, attracting tourists to visit China and stimulating shopping demand. At the same time, the prices of Chinese products are internationally competitive. Additionally, policy support is expected to promote duty-free and tax refund shopping, optimizing the shopping experience. Retailers, shopping centers, and duty-free operators within China will benefit the most.