BANGKOK — Chinese tourists to Thailand plummet from tens of thousands to as few as 7,000 daily, with arrivals down 17% in early 2025 amid security concerns. Tourism officials warn of intensifying competition from Japan, Vietnam, and China’s domestic tourism push, while shifting strategy toward higher-value visitors rather than volume
Nattariya Taweewong, permanent secretary of the Ministry of Tourism and Sports, said the decline in Chinese tourist arrivals in Thailand is a cause for concern among relevant authorities as tourism remains the last big driver of revenue generation and foreign exchange inflow into Thailand.
The Chinese market, which once attracted 100,000 visitors a day to Thailand, has now declined sharply, with some days seeing as few as 7,000 visitors. In the first three months of 2025, Chinese tourist arrivals fell by 17%, largely due to sensitive security confidence issues.
Between January and March 2025, Thailand welcomed 9.55 million international tourists, an increase of 2% compared to 2024 and a recovery of 88% compared to 2019. These visitors generated revenue of 471.975 billion baht, an increase of 7% from 2024 or a recovery of 91% from 2019. Key markets included China, Hong Kong, Taiwan, South Korea and Vietnam.
First-Half Revenue Still Far from Target
Nattariya explained that Thailand is expected to receive 8.37 million international tourists from April to June 2025, an increase of 3 year-on-year, generating revenue of 390.42 billion baht. This would bring total foreign revenue in the first half of the year to 862.295 billion baht, still short of the target.
“What is as worrying as the decline in Chinese tourist numbers is the fact that we have to compete with Japan and Vietnam,” she said. “Besides, China itself is actively promoting domestic tourism and attracting more international tourists to China.”
Nattariya also pointed out that China now refunds foreign tourists 13% VAT on purchases, with the system, similar to Japan’s, designed to be simple, convenient and quick to increase spending in China.
Tourism Industry Structural Changes
Thapanee Kiatphaibool, governor of the Tourism Authority of Thailand (TAT), said that while the decline in tourist numbers was worrying, attention needed to be paid to improving quality, which would be reflected in better pricing structures. Hotels were able to charge higher room rates even when demand was lower.
She emphasized that the goal is to achieve higher value per visitor rather than just focusing on volume. Although there has been a decline in visitor numbers from some markets, this has been offset by growth from other markets and a more sensible pricing structure has been introduced. She therefore strongly advised against panicking about the falling numbers.
Nonetheless, she added that the TAT is not complacent. It is looking at several dimensions, such as adjusting the structure for better quality tourists and ensuring appropriate market pricing that meets the needs of both business people and customers. There is also an urgent need to improve services to do justice to Thailand’s natural resources.
TAT is working with influencers and various partners to achieve better results in the future. In the past, for example, marketing efforts have focused on long-haul markets, resulting in a significant increase in European tourists, a sign of a structural shift towards higher value visitors.
As for the Chinese market, TAT is continuing its marketing efforts, especially this year, which marks the 50th anniversary of Thai-Chinese the establishment of diplomatic relations. Anniversary of Thai-Chinese relations. Since the beginning of 2024, TAT has organized a series of celebratory events, including Chinese New Year concerts with well-known Chinese singers.
The most important campaign this year is the “Sawadee Ni Hao” project, which aims to further promote Thai tourism, following the successful “Ni Hao Month” campaign, which previously featured the popular Chinese actor Luo Yunxi as an ambassador for Thai tourism.
Calls for Tax Refunds Like China
Adith Chairatananon, honorary secretary-general of the Association of Thai Travel Agents (ATTA), said Thailand could lose its competitive edge in tourism if it does not respond quickly as China offers a 13% VAT refund at points of sale, a simple and convenient process.
He suggested that Thailand should adopt a similar policy. An immediate tax refund at tourist hotspots would incentivize spending while traveling and potentially increase per capita spending.
Adith added that China has been aggressively promoting tourism since early 2025, targeting both domestic and international visitors. In addition to the VAT rebate, China now allows citizens from 54 countries to stay visa-free for up to 240 hours (10 days) under its visa-free transit policy, attracting more tourists.
Meanwhile, Japan, which is currently one of the most popular destinations for Chinese tourists in Asia, has also introduced a duty-free shopping system. Although Japan plans to move to a tax refund system next year, Global Blue, a company that offers tax refunds for tourist purchases, reported that duty-free spending in Japan increased by 219% in March compared to the same period in 2019, with Chinese tourists accounting for 50% of this spending.
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