BANGKOK – Tourism in Thailand faces a major setback as China’s expanded visa-free entry draws visitors away from traditional hotspots like Bangkok and Phuket. Once celebrated as Southeast Asia’s top holiday spot, Thailand is seeing fewer tourists, especially from key markets in Europe and the region.
China now welcomes visitors from over 70 countries without a visa, allowing travellers to easily visit cities like Beijing, Shanghai and Xi’an. As more people choose China for their holidays, Thailand’s tourism industry struggles to keep up.
China’s visa-free policy, launched in 2024 and broadened in 2025, now covers citizens from 74 countries. This includes large economies such as France, Germany, Italy, Australia and New Zealand, as well as neighbours like Thailand, Malaysia and Singapore.
The 144-hour visa-free transit option for 54 countries lets tourists explore 23 Chinese cities for up to six days. Cruise passengers also benefit from a 15-day visa-free option. These changes, supported by China’s tourism ministry, have helped increase visitor numbers dramatically.
Between January and September 2024, China recorded 95 million tourists, up by 78.8 per cent year-on-year.
Shanghai welcomed 2.6 million international visitors in the first half of 2025, an increase of nearly 45 per cent. Hainan’s free-trade port had a 48 per cent jump in foreign arrivals.
Investments in high-speed trains, updated airports and duty-free shopping appeal to both luxury seekers and those interested in culture. James Liang, who heads Ctrip, China’s largest online travel platform, called the policy a smart move that makes travel easier and more attractive.
Thailand, in comparison, finds it tough to match these gains. The country once welcomed almost 40 million tourists in 2019, with Chinese visitors making up almost 11 million. Tourism brought in 19 per cent of Thailand’s GDP and generated more than 2 trillion baht.
But the pandemic hit the industry hard, and recovery has not been steady. In 2024, 35.5 million tourists arrived, just below the government’s goal. The target for 2025 remains the same, but experts warn it might be out of reach due to China’s growing popularity and tough competition from nearby countries.
The sharp fall in Chinese tourists has caused concern. Only 6.7 million Chinese visited Thailand in 2024, compared to over 11 million before the pandemic. For 2025, forecasts now expect between 4.2 and 5.5 million, with a 34 per cent drop already in the first half of the year.
Sittiwat Chiwarattanaporn, chairman of the Association of Thai Travel Agents, points to China’s own travel incentives and visa-free policy as key reasons for the decline.
Worries about safety have made matters worse. Scams aimed at Chinese visitors, such as overpriced amulets in Chonburi, have damaged Thailand’s image. Early in 2025, a proposal to reduce the visa-free period for Chinese tourists from 60 days to as little as 10 days, citing concerns about cross-border crime, sparked fears of even fewer arrivals.
The Thai Hotels Association reported over 12,000 cancelled bookings since January, with about a third of those from Chinese guests. Thien Prasit Chaiphatranant, the association’s president, says safety is a top concern. Many Chinese now choose destinations they see as safer and easier to visit.
China’s visa-free access has made it easier for travellers to plan last-minute trips, without the delays and costs of visa paperwork. Many Europeans are drawn to China’s mix of history, such as the Great Wall and Terracotta Warriors, alongside the modern sights of cities like Shanghai. Anna Müller, a German visitor, said she picked Beijing over Bangkok because she skipped the visa process and found cheaper flights.
She also described China as exciting and new.
Costs also influence travel choices. China’s economic challenges have made trips within the country and the region more affordable. Travel packages and duty-free shopping attract those watching their budget.
Rising prices in Thai hotspots like Phuket and Chiang Mai have pushed some to look elsewhere. Tourism analyst Gary Bowerman says Thailand hasn’t changed much in years, while China’s new infrastructure and strong marketing make it feel more lively.
Chinese cities now offer many cultural events, sports fixtures and themed activities tied to popular films, appealing to changing traveller interests. In contrast, Thailand’s usual draw of beaches and temples faces growing competition from up-and-coming destinations like Vietnam and Malaysia. Young travellers, especially, seem to prefer the fresh options now available in China.
