Domestic Tourism Up
The 2025 May Day holiday in China ran 1 – 5 May and, according to reports, the domestic tourism market in China boomed, with 314 million trips being taking within China, a rise of 6.4% on 2024. However, spend has still not recovered to pre-pandemic levels.
China has a system whereby you pay back holidays by working at the weekend, so normally two days working on the weekend for the May holiday, but this year they only worked one day giving a chance to rest, and more time to get out and spend.
A bellwether, but a confusing one
The May Day holiday is a bellwether of consumer confidence, which continues to be hit by concerns over the US tariffs, the ongoing issues in the property market, and a disappointing rate of economic growth. Whilst retail spending was up, it was largely in some of the sectors subject to government subsidies, like cars and electronics. Box office takings which is used as a marker around disposable income, was around 50% down (although some commentators are saying that’s just because there’s a lack of good films on this year.) It’s not a clear picture.
Outbound and Inbound travel was up by 28% y-o-y as around 11 million people crossed the border during the 5 day holiday. Many visa free initiatives have been implemented since last year, and this seems to be helping inbound tourism figures too.
Silver Hair travellers
The “Silver Hair” travellers were out in force, with the OTA, Qunar,reporting a 40% increase in passenger volumes among the 60-80 year olds compared to the same period in 2024.
Trends and popular places
Searches on Airbnb for the period doubled year on year, with Japan remaining the most popular destination, driven by cultural festivals and relaxed visa policies. Europe saw notable growth, particularly for outdoor and nature-based activities such as hiking, self-driving tours, and island holidays. Italy, Spain, France, and Portugal experienced sharp increases in search volumes on Airbnb. The Airbnb reported figures reflect broader shifts in Chinese travel behaviour, with a growing preference for slower, off-peak journeys, immersive cultural experiences, and active, nature-oriented holidays.
Always delighted to share a new piece of jargon in case you’re not familiar. ‘Reverse Tourism’ is a term to describe the trend of choosing smaller cities and rural destinations, off the beaten track. This trend is emerging strongly in China and smaller destinations should capitalise on this opportunity and use Chinese social media, particularly Xiaohongshu or ‘RedNote’ to capture this market.
There’s another national holiday coming up soon. The Dragon Boat Festival will run from Saturday 31stMay to Monday 2nd June.