Taiwan Hospitality

Asian Cities

2H 2016

 

The number of inbound tourists broke the 10 million mark in 2015, with visitor numbers doubling in the past five years. 4.2 million of these tourists were from China, 40% of the total, still the largest group, despite a slower growth rate of 4.9% in 2015. According to the Tourism Bureau, Chinese visitors, who usually stay for seven nights in Taiwan, spent US$7.1 billion in 2015, accounting for 49.6% of total visitors’ expenditure. The increase in Chinese visitors boosts many sectors, especially hotels, tour companies, tour bus companies, restaurants and souvenir stores, especially those targetting group tours.

Travellers from China have flocked to Taiwan since 2008, and there was an average per annum growth of 29.5% between 2010 and 2015. When Ms. Tsai Ing Wen, the chairwoman of the Democratic Progressive Party (DPP) won the 2016 presidential election, the rumours of a clampdown on Chinese tourists became true. Mainland arrivals dropped by 12.2% this May, and 11.9% year-on-year (YoY) this June, due to fewer approvals for group travel being approved by the Chinese government. It is reported that Chinese tourists could decrease by one third by the end of the year. The tourism industry faces serious challenges, with many operators focusing on the China market over the past few years. This August, a travel agency company targetting Chinese tour groups shut down unexpectedly, and hoteliers and tour bus companies have also complained about a loss of business.

 
 

Key contacts

Simon Smith

Simon Smith

Senior Director
Research & Consultancy

kamaco Two Exchange Square

+852 2842 4573

 

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