Australia’s Lunar New Year celebrations have delivered mixed results, reflecting a slow pace of recovery in the Chinese visitor market, the Australian Tourism Export Council (ATEC) reports.
“The industry pulse indicates a shift towards Free Independent Travelers (FITs) and smaller premium groups, while larger group travel – historically driven by the Approved Destination Scheme (ADS) – remains soft,” ATEC said
“Given the market remains well below pre-pandemic levels, revitalising the ADS is critical to driving a stronger and more sustainable pipeline of Chinese visitors to Australia,” said ATEC Managing Director, Peter Shelley.
“A modernised ADS could better align with the changing travel preferences of the Chinese traveller, ensuring Australia remains competitive as this market continues to recover.”
According to the latest data from Tourism Research Australia (TRA), China remains Australia’s second-largest inbound market, yet visitor numbers are just 56% of pre-pandemic levels in FY2023-24.
Total visitor spend stands at $7.4 billion, down 23% from pre-Covid levels, despite strong year-on-year growth with forecasts indicating Chinese visitation unlikely to fully recover until 2027.
“While we are seeing stronger growth from FITs and smaller high-value groups, large-scale group travel, particularly through the ADS, is not recovering at the same rate, which is why it’s important to evolve the ADS framework to align with market needs and ensure it remains an effective tool in attracting Chinese visitors,” Shelley said.
ATEC is urging government investment in driving the return of travellers from China, calling for a modernised ADS, trade missions and regional itineraries; co-funded grants for Inbound Tour Operators (ITOs) to rebuild global distribution networks; and increased promotion in high-growth markets.
“Government support continues to be essential in regenerating travel from China,” said Shelley.
“As one of the least recovered markets, China’s return to growth depends on ensuring Australia remains competitive and attractive and evolving the ADS visa offering will play a key role in achieving that goal.”
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Hotels embrace Lunar New Year celebrations
Capella Sydney is among the hotels to host Lunar New Year festivities for guests and locals. From January 28th to 16th February, the hotel is offering a programme of experiences in collaboration with various Chinese culturalists and associations. On January 28th, Lunar New Year’s Eve, the celebrations began with a traditional Eye-Dotting and Lion Dance Ceremony at Farrer Place, featuring a performance by Jin Wu Koon, one of Australia’s oldest dragon and lion dance associations.
Head Pastry Chef Arthur Carré has curated a limited edition Lunar New Year Afternoon Tea at Aperture that celebrates oriental cuisine with an Australian twist, with such items as mandarin lamington.