Taiwan tourism sector might lose NT$55B due to drop in Chinese tourists

Published on : Monday, April 3, 2017

taiwanThe cold relations between China and Taiwan can be attributed to a steep decline in the Chinese tourist arrivals to Taiwan thereby negatively impacting the regional tourism industry of the region.


The estimated loss amounts to about NT$55.85 billion that equals to about US$1.84 billion in the year 2017.


The statistics compiled by The Ministry of Transportation and Communications (MOTC) says that the number of Chinese travellers have dropped 1.13 million to February 2017 from May 2016. Now, if the average Chinese tourist spends about US$232.1 in Taiwan in 2015 and resides in the nation for a week, it would lead to a loss of NT$55.85 billion for Taiwan this year.


The MOTC statistics for 2016 are not available.


Certain tourist experts have forecast that there has been a decline of 672,000 Chinese visitors in 2016 as compared to the year before. Ever since that time, there has been a hike in the number of tourists visiting this place in the month of April. However, by January 2017, Chinese tourists have declined by over 100,000 and dropped sharply to 203,000 in February.


The tourism sector of the nation has projected a contract of nearly 1.2 million to 1.5 million Chinese tourists by the end of 2017 as compared to 2016.


The steep decline in February was mostly caused on account of changes in the Lunar New Year holidays that had occurred in January this year instead of February, stated by MOTC.


One of the tourism industry insiders have expressed his fears that if the number of Chinese travellers to Taiwan plunges by 1.5 million in 2017, it is likely to eliminate a revenue of nearly NT$74.33 billion for the industry.


This would largely impact the retailers, tour bus industry, duty free shops, hospitality, aviation.


Frank Lin, head of South Taiwan Travel Alliance said that Southern Taiwan has been worst-impacted as a result of the drop in Chinese tourists.


An MOTC official expressed uncertainty over the fact whether the Chinese tourists would continue to visit Taiwan in the near future, as that would be strictly dependent on the cross-country relation developments.



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