China’s inbound tourism and consumption have surged, driven by expanded visa-free policies and optimized tax refund measures. National data shows that the number of duty-free refund procedures handled by tax authorities increased by 116% year-on-year, while sales at tax-refund stores rose by 56%. In some regions, the number of visa-free foreign visitors has doubled since the start of this year, highlighting the booming “China Travel” and “China Shopping” trends.
“China Travel” Booms with Diverse Demand
Since June 9, China has trialed visa-free entry for ordinary passport holders from Saudi Arabia, Oman, Kuwait, and Bahrain, expanding the list of countries eligible for unilateral visa-free entry to 47. Local governments have also rolled out initiatives: Beijing introduced 22 measures to boost inbound tourism, while Yunnan optimized services for 240-hour transit and ASEAN tour groups.
The policy effects are evident: Hangzhou has seen over 190,000 inbound foreign tourists this year, with visa-free entries exceeding 110,000 (up 33% and 115% year-on-year). During the Dragon Boat Festival holiday, 231,000 foreigners entered China via visa-free policies, a 59.4% increase from 2024.
“China Shopping” Soars with Tax Refund Upgrades
The convenience of visa-free entry has spurred “China Shopping” enthusiasm. In Guangzhou, foreign transit passengers often extend their stay to shop, with some visiting cities like Shenzhen and Dongguan. Beijing Customs data shows that from January to May, the total amount of duty-free refund applications hit 470 million yuan, up 91.6% year-on-year.
A national tax refund policy update (April 27–May 26) brought dramatic growth: duty-free refund procedures surged 116%, sales at tax-refund stores rose 56%, and the “buy-and-refund-on-the-spot” pilot saw transactions increase 32-fold. The number of tax-refund stores nationwide has reached 5,196, 1.4 times the 2024 total.
Multi-Faceted Economic and Cultural Impacts
Experts note that policies like visa-free entry and streamlined tax refunds have synergistically boosted inbound consumption. Wang Jinwei, a professor at Beijing International Studies University, highlights that China’s manufacturing upgrades—from tech products to creative cultural goods—are enhancing the appeal of “Made in China.” Liu Xiangyan, a researcher at the China Tourism Academy, adds that these policies not only drive consumer markets but also serve as a channel for Chinese culture and products to go global, from traditional goods like tea and silk to trendy “Guochao”文创 (cultural creativity) items.
As policies continue to optimize, “China Travel” and “China Shopping” are expected to further integrate, fueling both tourism growth and international cultural exchange.
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